Member

What is the effect on the economy now? Well, less than three months after the Budget, a report from the respected insolvency practitioners Begbies says that it has seen the number of companies in critical financial distress climb by 50% to 48,000 businesses. Consumer-facing sectors in particular have highlighted the concerning picture in the UK economy. Sectors that are served by small businesses, such as hotel accommodation, show an increase in financial distress of 83%, while the leisure and cultural sector shows an increase of 76%. General retailers—they include small shops, such as sweet shops and so on—show an increase of 47%; and it is 37% for food and drug retailers. These are all very worrying states of financial health.