The UK faces a wave of companies going bust as insolvency experts warn that the number of firms in “critical financial distress” has jumped by more than a third, MSN.com reported. A “red flag alert” by insolvency firm Begbies Traynor said tax authorities are chasing debts over Covid support which will send many smaller businesses over the edge into administration. It also highlighted the “intense strain an increasing number of companies are under as they are hit by rising labour and materials costs, higher energy bills and an economy likely heading into recession”.

Ireland's central bank governor urged lawmakers on Wednesday to ban the advertising of crypto assets targetted at young adults, likening crypto not linked to any underlying assets to a Ponzi scheme, Reuters reported. A long-time critic of crypto assets, Gabriel Makhlouf said that while they presented minimal financial stability risk for now, the Irish regulator was very concerned about the impact on retail customers. "There's a reasonable number of young adults who have put their money into crypto and there is an uncomfortable level of advertising that is targeted at that cohort.

Polish rate-setter Ludwik Kotecki said on Wednesday that he sees scope for some small interest rates hikes this year but doesn't believe the Monetary Policy Council will decide to raise them, Reuters reported. "I would still see room for small interest rate hikes this year (...) but it probably won't happen. I just hope no one comes up with the idea of ​​lowering interest rates," Kotecki told website gazeta.pl.

British private-sector economic activity fell at its fastest rate in two years in January, a survey showed on Tuesday, as businesses blamed higher Bank of England interest rates, strikes and weak consumer demand for the slowdown, Reuters reported. The S&P Global/CIPS flash composite Purchasing Managers' Index (PMI) dropped to 47.8 from 49.0 in December, at the bottom end of economists' forecasts in a Reuters poll and the lowest since January 2021. Readings below 50 indicate falling output. The fall contrasted with a slight rise in business activity in the euro zone.

Up to 100 Irish businesses are tipped for a new insolvency regime this year, according to Baker Tilly, the Independent reported. Demand for the Small Company Administrative Rescue Process (SCARP) has accelerated so far this year, with six companies exiting the process in the past week alone. The process was introduced in December 2021 and provides a simplified restructuring mechanism for small companies facing financial distress. There are 23 now commenced,” Baker Tilly corporate restructuring director Dessie Morrow told the Irish Independent.

European Central Bank Governing Council member Peter Kazimir joined a chorus of fellow hawks in rejecting suggestions that moderating inflation will soon warrant smaller interest-rate increases, Bloomberg News reported. “We need to deliver two more 50 basis-point moves,” said Kazimir, who also heads Slovakia’s central bank and favors the monetary-tightening cycle being completed by the summer. “The fall in inflation for two months in a row is positive news.

One of Europe’s biggest investors is putting banks on notice and may start exiting the sector unless it sees proof that claims of portfolio decarbonization are matched by action, Bloomberg News reported. “The financial sector has really lagged,” said Dominique Dijkhuis, a member of the executive board and head of investments at ABP, Europe’s biggest pension fund with about $600 billion under management.

The UK grid is asking some households to cut energy use on Monday — a request which is likely to be extended Tuesday — as a plunge in wind power and freezing temperatures across the country test its ability to keep the lights on, Bloomberg News reported. National Grid Plc will use the emergency tool for the first time to help ease a supply squeeze. Starting 5 p.m., customers of Centrica Plc, EON SE and Octopus Energy Ltd. who have signed up for the program will be asked not to use dishwashers or washing machines during a two-hour period of peak demand.

The number of Scottish businesses experiencing insolvency-related activity jumped over 32% in December 2022, compared to the same period in 2021, Insider.co.uk reported. Insolvency and restructuring trade body R3's analysis of data provided by Creditsafe showed that there were 142 cases of insolvency-related activity - which includes liquidator appointments, administrator appointments and creditors’ meetings - in Scotland last month – an increase of 35 activities from December 2021’s total of 107.

Jutta Doenges, a former Goldman Sachs Group Inc. banker who also ran Germany’s debt management agency, will take over as chief financial officer of recently nationalized utility Uniper SE, Bloomberg News reported. Doenges will take over on March 1, and replace Tiina Tuomela, whose contract expires, the company said in a statement, confirming an earlier report by Bloomberg. The Dusseldorf-based company suffered massive losses after Russia’s invasion of Ukraine triggered a surge in gas prices, and is in the midst of a management shakeup following a government takeover.