KPMG has released their findings on Scottish insolvencies ahead of the government’s statistics later this week. The total number of Scottish companies that entered an insolvency procedure (administration or liquidation) fell 4% from 943 in 2014 to 902 in 2015.
Interestingly, the total number of companies in administration actually rose by 52% from 67 in 2014 to 102 in 2015.
Comparing Q4 2014 and Q4 2015, the number of liquidations rose from 192 to 239, a similar trend to administrations which increased from 18 to 36.
While the annual figures show a slight fall in insolvencies, the quarterly comparisons reveal quite substantial increases.
KPMG’s Head of Restructuring in Scotland, Blair Nimmo, said in a statement: “Whilst there has been a continuing downward trend in corporate insolvencies since 2011, numbers have now levelled out, and at a higher point than pre-recession levels.”
“Furthermore, an increase in administrations and liquidation appointments in the last quarter of 2015, suggests we are not quite out of the woods yet.”
Accountant in Bankruptcy’s insolvency statistics for Scotland will be released on Wednesday while the Insolvency Service will publish UK findings on Friday.