Company Winding Up Petition Saw a 9% Rise

Almost 3,200 companies were shut down by compulsory winding up orders in the third quarter of the year, according to the latest figures from the Ministry of Justice.

In total, 3,184 winding up petitions were issued by the high court and in county courts across England and Wales.

It is further evidence that trading conditions are continuing to deteriorate across the UK, with figures up 9% on the same period the previous quarter. Payment petitions from creditors, meanwhile, were marginally under 5,500, an increase of 2% on the second quarter of 2008 and a 10% rise on the third quarter the previous year.

Experts believe the figures are likely to continue upwards in the final quarter of the year, adding that households are struggling to stay afloat financially as the cost of borrowing and unemployment are continuing to rise in the economic downturn.

In the last quarter, Britain’s economy contracted by 0.5% and the Eurozone entered recession on 14 November. These latest figures follow the official figures from the Office of National Statistics earlier in the month, which found that 17,341 people were declared bankrupt in the third quarter of 2008 almost 10% higher than a year earlier.

If you are or Company is in financial difficulty or has recieved a winding up petition and would like help and or advice on what to do next please contact the Business Recovery team at Enable Finance today on 0845 070 2050 we may be able to stop the petition and help your company avoid bankruptcy.