According to word coming from Clinton Cards, the company may be headed towards administration which could potentially place the jobs of more than 8,000 people at risk.Read more
Financial solutions company Think Money has welcomed new plans, announced by the Government, to ‘streamline’ the bankruptcy process – which could cut costs for both struggling borrowers and the taxpayer.
Business Minister Edward Davey has made proposals to allow struggling borrowers to apply for a bankruptcy order without going through the courts, which could help vulnerable people get the help they need with their debt problems faster.
Under the proposals, people applying for bankruptcy would be able to make an online application – or use a traditional paper application form – but would only have to attend court if there was a disagreement between them and their lenders.Read more
Insolvency November 14, 2011
It seems as though the debt crisis in the eurozone has far reaching tentacles that have impacted everyone from individuals to corporations to governments around the world. After bad investments in the eurozone debt crisis, MF Global filed bankruptcy and liquidators are now winding down the multinational brokerage.Read more
At the height of the debt crisis which peaked in 2009, the North East of England saw a record number of insolvent businesses being taken over by investors. Recently R3 commissioned Experian Corpfin to research insolvent company takeovers and those still distressed. Findings show that far fewer insolvent businesses are being taken over in the North East.Read more
Record amounts of people were proclaimed insolvent in England and Wales during the past year.
An all-time high of 135,089 persons were announced insolvent in 2010, the Insolvency Service revealed – 0.7% up on the total for 2009.
The record had been reached in spite of a 13.6% drop year-on-year in individual insolvencies to 30,729 for the last three months of the year, as the improving economic situation began to take hold.
The figures stick to a warning that figures plunged directly into insolvency this year is only going to increase to new records as young families are struck by the Government’s austerity push.
Around 140,000 adults will probably be made bankrupt, or forced straight into another kind of personal insolvency, equal to 385 per day, said accountancy firm RSM Tenon.
Mark Sands, of RSM Tenon, stated: ‘The UK will see the highest levels of personal insolvencies on record as the Government’s austerity measures start to bite.
‘The number of victims will be enough to fill both the London 2012 Olympic stadium and the Emirates Stadium [home to Arsenal football club].’Read more
Insolvency practitioners could be banned from getting appointed as administrators of companies where they have served as restructuring advisers.
An Office of Fair Trading inquiry is thought to be taking a look at a revolutionary new rule that could mean any insolvency specialist who advised a seriously indebted firm or even its lenders could not go on to deal with a subsequent insolvency.
This may be made to stop supposed conflicts of interests under which insolvency practitioners, asked to review a troubled business, recommend administration and then later get the often lucrative work involved.
R3, the insolvency practitioners’ trade body, is thought to oppose this kind of ban, believing that the practitioner which reviewed the company may be best placed to deal with virtually any subsequent administration.
The OFT may possibly also demand an independent regulator for insolvency professionals, just like the new Solicitors Regulation Authority.Read more
It’s unacceptable to hit women, yet the recession seems to have got away with it. According to startling statistics published by the Insolvency Service, women across the UK have struggled with the economic downturn more than their male counterparts.
Figures show that over a period of 12 months, a staggering 65,000 women were deemed insolvent because of unmanageable debts. That works out at 175 cases a day.
Compared with the previous year, the number of women being declared insolvent increased by 22% in the 12 months to 31st August. At the same time, the number of men being declared insolvent because of their debts increased by 8% to 75,111.
Effectively, this means the crisis among women is ballooning nearly three times faster than it is for men, according to research based on official figures from the Government’s Insolvency Service.
Experts warn women are paying the price for trying to maintain a standard of living they simply cannot afford.
A spokesperson commented: “The rise in the number of people being declared insolvent points to several things. For example, it suggests that more people are struggling with their debts – but also that those already struggling with their debts are becoming more aware of their options.
“The figures are clearly on the rise, and there are still many borrowers struggling with their debts without getting help.”
Reports also indicated that more than a million women in Britain are unemployed, according to official figures from the Office for National Statistics.
This is the highest for 17 years, with the number expected to keep rising as the impact of this week’s spending review takes effect.