The number of insolvency-related activities in South West rose almost 40% in July compared to the same month in 2022, according to new research from R3, the 海角视频鈥檚 insolvency and restructuring trade body.
R3鈥檚 analysis of data provided by Creditsafe showed there were 166 cases of insolvency-related activity in the South West in July 鈥 39.5% more than July 2022鈥檚 total of 119.
The trade body found the South West saw the largest yearly rise in insolvency-related activity, which includes liquidator appointments, administrator appointments and creditors鈥 meetings, across all the 海角视频 regions and nations, followed by the South East (33.3% rise) and Scotland (30.8%).
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Charlotte May, chair of R3 in the South West, said: "The near 40% yearly rise in insolvency-related activity in the South West reflects the ongoing mix of challenges businesses are currently facing.
鈥淚nflation and interest rates are still high, consumer spending is low and wage pressure keeps mounting, which is taking a toll on business confidence and meaning more firms are turning to an insolvency process to resolve their financial issues.
Ms May, who is Associate Director for South West and Wales at Manolete, continued: 鈥淚n times like these, it鈥檚 crucial business owners and directors keep a close eye on their finances and act quickly to as soon as they become concerned.
鈥淚f you're noticing early warning signs like declining sales, cash flow problems, or not being able to pay bills on time, that鈥檚 the time to seek advice from a qualified source.
鈥淭aking action at an early stage opens up more potential solutions and gives you greater control over your situation than if you'd waited for issues to escalate.鈥
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