In October 2024, there were 116 company insolvencies registered in Scotland. At the same time, the total number of company insolvencies was comprised of 50 CVLs, 60 compulsory liquidations, five administrations and one receivership appointment. There were no CVAs.

However, it must be noted that the total insolvency rate in Scotland in the 12 months to October 2024 was 53.1 per 10,000 companies on the effective register, marking a 1.5% decrease from the preceding 12 months ending October 2023.

Legislation relating to company insolvency in Scotland is partly devolved. Accountant in Bankruptcy (AiB), Scotland’s insolvency service, administers the Register of Insolvencies, a publicly accessible statutory register regarding the insolvency of individuals and businesses in Scotland. The Register includes company liquidations and receiverships.

This statistical release presents the numbers of compulsory liquidations, CVLs, administrations, CVAs and receivership appointments in Scotland based on their registration date at Companies House. Numbers therefore reflect company insolvency registrations rather than insolvency procedure start dates.

Historically, compulsory liquidations were the most common type of company insolvency in Scotland. However, since April 2020, the number of CVLs has typically remained higher than the number of compulsory liquidations.

Between 26 June 2020 and 31 October 2024, there were two restructuring plans in Scotland. There were no moratoriums. The two procedures were created by the Corporate Insolvency and Governance Act 2020.

Commenting on the figures, Michelle Elliot, restructuring advisory partner at FRP in Glasgow, said: “Insolvency volumes aren’t likely to recede any time soon.

“Debt is still a big issue for businesses. While economic conditions are brightening, tailwinds haven’t been enough for firms to really get on top of what they’ve borrowed. This saps their resources and means they’re particularly vulnerable to any fresh shocks or cost increases.

“Businesses now have the added pressure of National Insurance increases from next April, which will only add to any strain on their balance sheets. Those that rely on seasonal spikes – such as hospitality and retail – will be hoping for a particularly strong festive period to help maintain their resilience. If this doesn’t materialise, more could find themselves facing distress in the New Year.”