UK Company Insolvencies Rise in Quarter 1

The number of companies falling into financial distress in England and Wales rose in early 2019, adding to signs that businesses struggled in the run-up to the original March Brexit deadline, official data showed on Tuesday, Reuters reported. There were 4,187 company insolvencies in the first quarter, up from 3,938 in the fourth quarter, the Insolvency Service said, citing seasonally adjusted data excluding “bulk” closures of companies set up by individuals for their personal affairs. Most of these were creditors’ voluntary liquidations, when shareholders of an insolvent firm decide to close their company. Britain had been due to leave the European Union on March 29 without a transition deal, dampening business investment and activity. The Brexit deadline date has since been pushed back twice, and it is now set for Oct. 31. Read more