David Alexander

This is a decrease of 13.0%. Over the same period, there were MVLs (members voluntary liquidations) were down to 94 from 200 – a decrease of 52.0%.

Creditors’ voluntary liquidations decreased by 19.0% and compulsory liquidations decreased from 130 to 126.

David Alexander, head of debt recovery at Gilson Gray, said: “The year-on-year decline in corporate insolvencies only provides half of the picture – there has also been a gradual increase in the last six months after a temporary drop from post-pandemic highs.

“This is unsurprising in the wake of a series of high-profile businesses reporting financial distress and entering administration.”

He continued: “Separate figures released the other day showed that insolvencies were up significantly in the last quarter, mainly in professional services, construction, and retail.

“I expect this to continue, if not get worse, for the rest of the year. Interest rates coming down should help, but with inflation remaining stubborn it is increasingly difficult to see when this will happen and how much of a cut can be expected.”

Mr Alexander concluded: “From our team’s workload and speaking to a number of insolvency practitioners, we are all very busy.

“We have seen an upturn in insolvencies, both on the personal and corporate front, as well as cases being led by creditors and companies. Put simply, there is increasing pressure on all fronts – particularly in the construction sector.”