Monthly Insolvency Statistics: November 2023

Published on : 22nd December, 2023 | Updated on : 20th August, 2024

Categories:

Research and Statistics

The monthly insolvency statistics have been released for the month of November 2023. In this article the findings will be explored.

Company Insolvencies

November 2023 saw 2,466 registered company insolvencies through England and Wales. This is an increase of 21% when compared to the amount registered in the same month of 2022. This is also higher than figures during the pandemic and pre-pandemic.

The company insolvencies consisted of:

1,962 Creditors Voluntary Liquidations (CVLs)
359 Compulsory Liquidations
133 Administrations
12 Company Voluntary Arrangements (CVAs)

There were no receiverships registered.

CVLs (23% higher in Nov-23 than Nov-22) and Compulsory Liquidations (22% higher in Nov-23 than Nov-22) appear to be the drivers of the increase in company insolvencies, compared to November 2022. Although CVAs also did see a 20% increase. Administration levels were similar to what it was in November 2022.

Between 26 June 2020 and 30 November 2023, 47 moratoriums were obtained in England & Wales, along with 22 companies having a restructuring plan registered at Companies House.

Moving on to the statistics for Scotland and November 2023 saw 109 registered company insolvencies. This is made up of 74 CVLs, 30 compulsory liquidations and 5 administrations. No CVAs or receiverships were recorded.

Historically, compulsory liquidations have led the way for the company insolvencies in Scotland. But in the first 11 months of 2023 CVL numbers remained more than 1.5 times higher than compulsory liquidation numbers.

Between 26 June 2020 and 30 November 2023, no moratoriums were obtained for companies in Scotland. Two companies did register a restructuring plan at Companies House.

For Northern Ireland, 26 company insolvencies were registered in November 2023 – this being 30% higher than that in November 2022. Registrations consisted of 13 compulsory liquidations, 6 CVLs, administrations and 2 CVAs. No receiverships were recorded for this period.

Individual Insolvencies

England and Wales had 8,243 Individual Insolvencies registered in November 2023. This is 21% less than what was registered in November 2022. It is thought that the reason for the decline is the lack of IVAs, as DROs and bankruptcies increased.

Delving deeper, the registrations are broken up into:

4,292 Individual Voluntary Arrangements (IVAs) – 44% lower than in November 2022
3,290 Debt Relief Orders (DROs) – 45% higher than in November 2022
661 Bankruptcies (split as 522 debtor applications and 139 creditor petitions) – 18% higher than in November 2022.

Northern Ireland had 111 Individual Insolvencies registered in November 2023. Numbers are made up of 70 IVAs, 21 DROs and 20 bankruptcies. Total numbers are 24% lower than the same month a year previous.

Read the full report here.

Hobbycraft To Launch CVA to Close Stores And Negotiate With Landlords

22nd April, 2025 in News Retail What is a CVA (Company Voluntary Arrangement)?

According to information obtained by Sky News, Modella Capital, a private investment business that specialises in acquiring struggling retailers, including WH Smith, will propose a company voluntary arrangement (CVA) at Hobbycraft as early as Wednesday. It has been reported that it will be FRP Advisory that will propose the CVA.People close to the plan stated that nine of its shops would be closed with the loss of around 100 jobs, and that 18 more would remain open only if negotiations with landlords over rent cuts work out.According to the individuals, 1,800 staff will be protected as an additional 97 stores will not be impacted by the CVA.Hobbycraft ‎is the latest in a series of High Street names to look at trying to reduce the size of their store portfolios amid rising pressures from online and discount rivals, increased employment costs and a deteriorating outlook for consumer confidence.Expensive High Street stores can be cut back provided that the lease allows for early termination. If not the only way out is to surrender the lease that can be very expensive or use a company voluntary arrangement (CVA).A CVA allows the retailer to determine its lease obligations which can greatly help the company's cash flow. For more information on why a CVA is a perfect mechanism for helping retailers, read our retailer rescue page Why not read our case study where we rescued a multi-store retailer

Read

Hobbycraft To Launch CVA to Close Stores And Negotiate With Landlords

Jetline Travel in Administration After It Stopped Trading

10th April, 2025 in Travel and Transport What Does Going Into Administration Mean?

In March, Jetline Cruise's parent firm, Jetline Travel, which was established in 2000, stopped trading as an ATOL-protected travel agency. According to reports it has now gone into administration.The company operated under a number of brand names at the time, including Save on Sun, Bargain Late Holidays, Best Priced Holidays, Cruise and More, and Elegant Getaways.Jetline Travel reported an operational profit of £655,000 and a turnover of £28.1 million in 2023. 5,000 customers—the majority of whom had reservations for cruise vacations—were impacted when the company stopped operating as an ATOL operator in March.Due to a "breach of contract" with Jetline, a number of well-known cruise reservations with companies like Princess, Cunard, and Holland America have since been cancelled. The Civil Aviation Authority (CAA) released advice for impacted passengers in early March: "If you are currently abroad and have a scheduled flight e-ticket, the flight is still valid for your return trip." Kindly check in with the airline as usual. We are obtaining data from the business and will shortly offer more instructions on how to make a claim for reservations that are ATOL-protected"Bookings that solely include lodging, non-flight packages, or cruises without flights are not covered by the ATOL scheme, the CAA confirmed."Jetline Travel Ltd. acted as an agent for other ATOL holders," they continued. Jetline's ATOL does not safeguard these reservations. To find out who is providing protection, look at the 'Who is protecting your trip?' section on your ATOL Certificate. Get in touch with the ATOL holder directly if they are still operating.Jetline is represented in the travel industry by the Advantage Travel Partnership, whose representative apologised for the incident. They expressed their sadness at Jetline Travel's closure to The Independent. "Since 2015, they have been a valued member, and we are thinking about the impacted consumers and employees."Anyone who has a cruise-only trip booked, or one with just accommodation that doesn't have flights included, are not protected under ATOL.

Read

Jetline Travel in Administration After It Stopped Trading

Cardiff Rugby To Go Into Administration

8th April, 2025 in News Notice of Intention to Appoint Administrators

Cardiff Rugby is intending to appoint administrators according to reports on the BBC and in the Daily Mail. The Welsh Rugby Union is expected to step in to stop the club disappearing as was the case with the Wasps in England.Investment group Helford Capital Limited completed a Cardiff takeover in January 2024 after it acquired an 84.55% shareholding in the regional team.In March 2024, Cardiff announced a loss of £2.1m for the year ending June 2023, with the next set of accounts due in May 2025.It is understood that the Club will honour all signings for next season and, what will no doubt come as some relief, there is no automatic points deduction if a club goes into administration.The club has been playing since 1876 and is regarded as one of the grand old clubs. Its home ground is Cardiff Arms Park which has played host to famous victories over even national teams like the All Blacks.

Read

Cardiff Rugby To Go Into Administration