An expected rise in company failures following the oil price slump has not materialised and the outlook has brightened, according to a company restructuring specialist.

While the number of businesses failing in Scotland rose by 7% last year, up from 904 to 969,  there was a sharp slowdown in the final quarter.

Blair Nimmo (pictured), UK head of restructuring for KPMG, said that in broad terms, the overall number of insolvencies levelled out in 2015 and is now significantly below the numbers following the financial crash.

“Notably, an expected hike in oil and gas related insolvencies due to the low oil price has simply not materialised,” he said.

“While significant challenges remain in that sector during 2017, there is no doubt the outlook is now a little more positive than was the case this time last year.

“Interestingly, we have not yet seen the immediate impact of Brexit or Donald Trump’s presidency, and indeed for the most part, the doom and gloom predictions prior to both votes have not materialised.

“A reduction in the value of the pound against the euro and the US dollar will undoubtedly impact those businesses which purchase raw materials, goods or services in these currencies for sale in the UK, as it may prove difficult to pass on price increases.

“For the most part, economic predictions during 2016 were way off the mark. While there are many positive signs for 2017 including GDP growth, low unemployment and interest rates, we sense a degree of uncertainty.

“On Brexit, we sense businesses will continue to adopt a cautious approach until matters become clearer after the triggering of Article 50 in March.”