The number of company insolvencies in November 2023 was 21% higher than in November 2022.
In their final statistics release for the year, the Insolvency Service confirmed 2,466 registered company insolvencies in November 2023. This figure is 21% higher than last November and 7% higher than the figures recorded in October 2023. The December figures will be released early in 2024.
Of the 2,466 registered company insolvencies in November 2023:
The number of registered company insolvencies in November 2023 was higher than in the same month last year, driven by higher numbers of CVLs and compulsory liquidations.
Figure 1: The number of registered company insolvencies in November 2023 was higher than in the same month last year, driven by higher numbers of CVLs and compulsory liquidations.
Sources: Insolvency Service (compulsory liquidations only); Companies House (all other insolvency types)
For individuals, the total number of insolvencies in November 2023 was 8,243, 21% lower than in the same month in the previous year (10,478 in November 2022).
The individual insolvencies consisted of:
The lower number of individual insolvencies compared to November 2022 was driven by a 44% decline in the number of IVAs. IVA numbers in 2023 to date have been lower than in 2022, which saw a record-high annual number. DRO and bankruptcy numbers were higher than last year, with DROs in November 2023 being 45% higher than in November 2022, although the number of bankruptcies remained well below pre-2020 levels.
Figure 2: IVA numbers so far in 2023 have been lower than in 2022. Bankruptcy and DRO numbers were higher in November 2023 than in the same period last year.
Source: Insolvency Service
Dan Hancocks, CoCredo MD, says: “For the past four years, businesses have been confronting various challenges, including the pandemic, the termination of government support programs, surging inflation, a cost-of-living crisis, and supply chain disruptions. Despite the unrelenting nature of these challenges, companies have remained steadfast in their efforts to overcome them without any time to pause and recover between them.
The past year has been challenging due to rising costs, decreasing spending, and high-interest rates, making it difficult to pay debts or secure funding.
This is a crucial time for businesses to focus on optimising their revenues. With the right strategies and efforts, they can successfully meet their goals and avoid any potential increase in insolvency numbers next month.”
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