There was a significant increase in the number of firms that became insolvent in July when compare with the corresponding month last year, the latest figures show.
According to the Insolvency Service, 2,191 businesses went bust in England and Wales last month, up 16% on the 1,890 recorded in July 2023.
The figures included 320 compulsory liquidations which is the highest monthly number since before the Covid-19 pandemic.
The rise reflected “months of high interest rates, weak demand and rising costs continuing to feed through”, according to David Hudson, restructuring advisory partner at FRP.
He said: “We expect insolvency levels to remain elevated for some time yet.
“While economic conditions are improving, there are many…