Record number of businesses facing Covid-19-induced insolvencies, with more than 500,000 businesses on the verge of collapse
A record number of companies are about to collapse due to the pandemic
A record number of companies are on the brink of collapse as the coronavirus pandemic wreaks havoc on the economy.
According to the latest Red Flag Alert report from insolvency experts Begbies Traynor, more than half a million companies are in significant financial distress.
The 6 percent increase in the number of companies in serious trouble between the second and third quarters of this year, to 557,000, was the largest quarterly increase since 2017.
It is the largest number of companies in such a difficult situation since Begbies began publishing the report in its current form in 2014.