
The economic outlook for many British businesses is looking far from great. Corporate restructuring specialists Begbies Traynor have recorded that the number of UK firms with substantial credit risks surged by nearly a third year-on-year to hit 632,756 between July and September this year.
Concerns that the budget may push many business into actual insolvency were expressed by Julie Palmer of Begbies Traynor. This means that there is likely to be a busy time ahead for insolvency practitioners, either assisting businesses with rescue plans or winding up those for whom a rescue is not possible.
This flow of work comes on the back of many owners of solvent businesses rushing to insolvency practitioners to get their businesses wound up ahead of the budget amid concerns about a rise in Capital Gains Tax.
Julie Palmer, partner at Begbies Traynor, said: “There are significant concerns surrounding what the next Budget might hold for the economy and the knock-on effect could be damaging for many businesses teetering on the edge of collapse, as it seems certain many will have to deal with higher employee related taxes.”
https://www.telegraph.co.uk/business/2024/10/18/ftse-100-markets-latest-news-uk-retail-sales-reeves-budget/