Corporate Insolvency Remains Low at the Start of 2014

30th April 2014

Dan Butters, restructuring services partner at Deloitte, comments on today's Insolvency Service figures:

“The number of businesses falling into administration in the first quarter of 2014 is down 10% on the previous quarter, reflecting low levels of corporate insolvency. Despite a slight rise in administrations (1.2%) on this time last year, we are not experiencing a recurrence of the clear out of well-known retail names we saw then. Research by Deloitte points to a resurgence on the High Street, with just 20% of high street shops affected by 27 high profile administrations since 2009 remaining vacant.

“Company liquidations measure a 5% (4.9%) increase on this time last year, but otherwise remained stable over 2013. It is hard to imagine this picture changing soon, with the majority of lenders and other stakeholders expecting to see no change or reductions in restructuring activity this year.”