The number of directors calling time on their businesses has soared as they become overwhelmed by higher interest rates, inflated energy costs and a pushback against unpaid tax from HM Revenue & Customs.
The Insolvency Service found that the number of companies declared insolvent rose by 27% to 2,163 in June. The figures indicate the number of company insolvencies reached 6,403 in the second quarter, representing the worst quarter for insolvencies since the first three months of 2009.
This was primarily driven by directors shutting their own companies using creditors’ voluntary liquidations. The number of CVLs rose by 21% to 1,759.
