The collapse of Carillion and a spate of casualties on the high street meant that one in four UK businesses suffered a financial hit on the back of customer, debtor or supplier insolvency in the first six months of this year.
Around 10% of companies said another firm’s demise had had a “very negative financial impact” on their business, according to research by the insolvency practitioners’ trade body R3.
The group said the figures were evidence of a so-called ‘domino effect’, where one company’s collapse increases the risk of others going under.
