Last week saw the anniversary of the first Covid19 lockdown. When the optimists said it would be over by Easter, no-one thought we would still be facing major restrictions here at Easter 2021!
Despite 12 months of economic chaos, the Insolvency Statistics continue to remain low, although if must be borne in mind that government interventions have shielded both companies and individuals from the effects of the downturn. It remains to be seen what will happen as business re-opens and support is gradually withdrawn and businesses have to return to normal.
Reported insolvencies in February were as follows:-
Type February 2021 January 2021 January 2021 % Change January 2020 % Change
Creditors Voluntary Liquidation 591 613 -3.6 -38
Compulsory Liquidation 33 45 -26.7 -86
Administration 56 73 -23.3 -62
Company Voluntary Arrangement 6 21 -71.4 -68

As we have stated before, the raw numbers give no indication as to the level of stress created for directors of companies and employees, all of whom may face unemployment and personal insolvency issues as a result.
No doubt, further challenges lie ahead as the government seeks to reduce the enormous budget deficit and companies deal with their own financial issues, as illustrated this week by the news and rumours surrounding Liberty Steel and its ‘000s of employees.
If you or your business have suffered financial setbacks over the past twelve and are facing increasing pressures, the Insolvency Practitioners and staff at TH Financial Recovery are more than happy to discuss your concerns in a free confidential, no pressure and no obligation conversation with you. This can be held by Zoom Videoconference, telephone and, government restrictions permitting, physical meeting if you are comfortable with the latter.
Please call 01282 332222 or email to alleviate your stress and receive practical advice.

Source Insolvency Service