{"id":213618,"date":"2022-08-03T09:56:22","date_gmt":"2022-08-03T08:56:22","guid":{"rendered":"https:\/\/www.theindustry.fashion\/?p=213618"},"modified":"2022-08-03T19:21:11","modified_gmt":"2022-08-03T18:21:11","slug":"company-failures-leap-81-higher-as-inflation-weighs-on-uk-firms","status":"publish","type":"post","link":"https:\/\/www.theindustry.fashion\/company-failures-leap-81-higher-as-inflation-weighs-on-uk-firms\/","title":{"rendered":"Company failures leap 81% higher as inflation weighs on UK firms"},"content":{"rendered":"
The number of companies going bust rocketed higher over the past three months as soaring inflation started to bite for UK firms.<\/strong><\/p>\n Company failures shot 81% higher over the three months to June against the same period last year, according to official figures from the insolvency service.<\/p>\n The total number of registered insolvencies in the quarter was the highest for almost 13 years. The figures also showed that, after seasonal adjustment, corporate insolvencies were 13% higher than during the first quarter 2022.<\/p>\n Between April 1 and June 30, the Government reported 5,629 insolvencies, largely driven by 4,908 creditors\u2019 voluntary liquidations, the highest quarterly figure since records began in 1960.<\/p>\n It also recorded 368 compulsory liquidations, 320 administrations and 32 company voluntary arrangements (CVAs).<\/p>\n The new data means that one in 228 active companies tumbled into liquidation over the past year. Insolvencies over the quarter included the collapse of online fast-fashion brand Missguided.<\/a><\/span><\/p>\n The retailer called in insolvency specialists after it was issued with a winding-up petition by suppliers owed millions of pounds, before it was snapped up by Mike Ashley\u2019s Frasers group in a rescue deal. The company is expected to pay less than 2% of the \u00a330 million owed to its suppliers<\/a><\/span><\/p>\n