The latest figures from Scotland’s Accountant in Bankruptcy (AiB) show a slight fall in the number of Scottish businesses becoming insolvent or entering receivership in the third quarter of 2016-17.
According to the figures, the number fell from 218 in the second quarter, to 209 in the third quarter. This is a 4.1% fall over the second quarter and 18.4% lower than the same quarter of the previous year.
AiB highlights, however, that it reports on the number of corporate insolvencies and member voluntary liquidations logged. As a consequence of the time taken between the date a corporate insolvency is awarded or a member voluntary liquidation is registered and when AiB receives notice, the figures may not exactly reflect the number of corporate insolvencies awarded or member voluntary liquidations registered during a quarter.
The figure for the quarter is made up of 137 compulsory liquidations and 72 creditor voluntary liquidations. No receiverships were recorded for the quarter. There were also 151 members' voluntary liquidations, which is up from the 106 recorded in the previous quarter.
“It is heartening to see fewer Scottish companies shutting their doors this quarter - although we are acutely aware of the challenging economic environment that our businesses continue to operate in,” commented Minister for Business, Energy and Innovation Paul Wheelhouse.
“The reduction in numbers this quarter is better news for the Scottish economy and I hope we can see numbers fall further in due course as we seek to ensure Scotland is a place where companies can flourish,” he added.
Contact Us
If your business is at risk because of insolvency then contact us today. At Miller Samuel Hill Brown our specialist lawyers can provide expert legal advice tailored to your individual situation.