100,000 British companies in financial trouble
A report by Begbies Traynor claims that upwards of 100,000 British companies are in serious financial trouble with over £58 billion of debt between them. There are also 50,000 other companies likely to be hit by UK government cutbacks which will make the situation even worse and potentially tip tens of thousands more companies over the edge. There is no doubt that beneath the surface there are many companies struggling to survive and any lurch downwards by the UK economy could have a catastrophic impact on the UK business arena.
The report by Begbies Traynor is a major blow to the UK financial arena although thankfully UK banks have grouped together to create a £1.5 billion rescue fund for small to medium-sized businesses. Whether this is too little too late remains to be seen but there is no doubt that UK companies do need increased liquidity and they need it quickly!
Inflation in the UK continues to remain stubbornly high, unemployment in the UK is creeping ever higher and the economy is under major pressure. The higher unemployment rises the more pressure this places upon the welfare state and ultimately we could see many of the budget cuts introduced by the government negated by a massive increase in benefit payments.
Carphone Warehouse insists the UK economy is stabilising
In a welcome positive note from UK economy, Carphone Warehouse today came out with a suggestion that the UK high street is beginning to stabilise and consumers are starting to spend again. This is the first real sign of any potential recovery on the UK high street and has been welcomed across the board as companies and investors look for any snippets of positive news.
The company be...
UK unemployment falling
17/10/2013 Unemployment in the UK fell by more than 18,000 to less than 2.5 million in the three months to August according to the Office for National Statistics (ONS). Additionally, those claiming job seekers allowance fell by 41,700 to 1.35 million last month alone, the lowest since January 2009. This has left the UK’s unemployment at around 7.7%, whilst the number of people in either fu...Read More
Unemployment rises to 1.82 million
Confirmation that the rate of unemployment in the UK is approaching 2 million will be a further reality check to those who assume the economy will bounce back in the short to medium term. So far the unemployment figures have been nominated by the low paid workforce but there are signs that problems are growing in the middle-class of the working public.
If the middle classes are stru...
Bankruptcy applications at record levels
Applications for bankruptcy in the UK hit record levels last year, government figures reveal. Over the course of 2007, 53,114 Briton submitted requests to go bankrupt, a slight rise from a figure of 52,717 during 2006. However, this represents a doubling of the number of bankruptcy applications witnessed in 2003. The rise this year has been attributed to consumers struggling to meet debt repayment...Read More
Bank company announced by government
A newly set-up company will look after the government's shareholdings in major banks, the Treasury has announced.The "arm's-length" company, named UK Financial Investments Limited (UKFI), will be wholly owned by the government."Its overarching objectives will be to protect and create value for the taxpayer as shareholder, with due regard to financial stability and acting in a way that promotes com...Read More