This site uses cookies; by continuing to use our site you agree to our use of cookies. More details in our privacy policy. Close

 

 

Better news for construction sector 1 July 2013

UK construction and leisure businesses have shown significant improvements in the levels of corporate insolvencies, according to latest figures.

Data from Experian’s insolvency index shows insolvency rates fell from 0.16% and 0.18% respectively in May 2012 to 0.11% and 0.14% respectively in May 2013.

Non-food retailing also showed a significant improvement, with insolvency rates falling to 0.12% from 0.16%, whilst printing, paper and packaging firm insolvencies dropped 0.15% in the year.

Max Firth, managing director of business information services in the UK and Ireland at Experian, said: “May’s insolvency figures have shown improvements across many areas of the UK.

“Insolvencies among smaller businesses, which are the backbone of the UK economy, are showing a longer-term change for the better, whilst building and construction firms can also take heart at the drop off in insolvencies after a particularly difficult period.”

Overall, 0.08% of the business population, 1,755 companies, failed in May 2013, down from 0.09% the previous year.

However, the IT industry showed the largest increase in insolvencies, with an increase of 0.03% to 0.09% in May 2013 from the year previously.

The servicing and repair sector also saw a marked increase in insolvency rates, growing from 0.08% in May 2012 to 0.15% in May 2013.

Insolvencies within small business with between 6-10 employees dropped from 0.20% last year to 0.16% in May this year, with the insolvency rate amongst all companies with less than 10 employees – approximately 1.8m businesses – not rising for the last four months.

Regionally, insolvency rates dropped year-on-year in seven out of 11 UK regions, compared to just one region improving in May 2012.

The North East of England showed the greatest improvements, decreasing from 0.14% in May 2012 to 0.11% in May 2013.

 

 

blog comments powered by Disqus