Main Menu

Data shows greater confidence

Company failures below pre-recession level

Blair NimmoThe number of Scottish companies going out of business has fallen to pre-recession levels, according to new data, although the shutdown of steel operations may see an upturn in future figures.

There was a 30% fall in insolvencies to 177 in the last quarter compared to the same period in 2014 (254), the lowest since 2007 (151).

Blair Nimmo, head of restructuring for KPMG in Scotland, said: “There are now fewer businesses failing than before the recession, and there is no doubt that, for the most part, business confidence is on the rise.

“That being said, we’re reaching a natural levelling off period which will likely prevail, irrespective of economic conditions, meaning we will continue to see similar numbers of businesses going into liquidation and administration.

“The effects of the recession are still fresh on the minds of most corporates, which is reflected by cautious optimism. Instead of a flood of deals, businesses are focusing on less risky transactional activities.

“From a sector perspective, the low oil price looks like it might be around for a while yet, but it is pleasing to note that most corporates are addressing this through active cost and working capital control and this is certainly where we are concentrating our efforts with clients.

“We have also recently seen significant problems in the steel sector, albeit it is a little early to forecast the likely outcome and impact across Scotland.”

Quarter to 30 September

 

Liquidation
Appts

Admin & Rec
Appts

Total Corporate
Insolvency Appts

2007

135

16

151

2008

216

44

260

2009

170

43

213

2010

228

40

268

2011

303

42

345

2012

285

30

315

2013

212

31

243

2014

239

15

254

2015

158

19

177

Nine Months to 30 September

 

Liquidation
Appts

Admin & Rec
Appts

Total Corporate
Insolvency Appts

2007

484

56

540

2008

497

91

588

2009

493

142

635

2010

731

139

870

2011

819

137

956

2012

827

101

928

2013

515

96

611

2014

684

49

733

2015

561

66

627

Quarterly comparison

Quarter

 

Liquidation
Appts

Admin  & Rec Appts

Total Corporate
Insolvency Appts

Q1 2013

132

37

169

Q2 2013

172

28

200

Q3 2013

212

31

243

Q4 2013

231

29

260

Q1 2014

220

19

239

Q2 2014

225

15

240

Q3 2014

239

15

254

Q4 2014

192

18

210

Q1 2015

168

20

188

Q2 2015

194

20

214

Q3 2015

158

19

177

Share The News Tweet about this on TwitterShare on FacebookShare on Google+Email this to someoneShare on LinkedIn





Leave a Reply

Your email address will not be published. Required fields are marked as *

*