There was a year-on-year fall in business insolvencies during April in the UK.
The latest Insolvency Index from Experian showed that the total number of insolvencies fell by 15.1% during April compared to the same month last year – from 2,274 in April 2009 to 1, 818 in April 2010. As a result, this brought the year-on-year insolvency rate down from 0.11% to 0.10% in April.
The overall financial strength score of UK businesses also improved, from 80.02 in April 2009 to 80.76 in April this year.
Mid sized businesses suffered the most in April. Companies with 26-50, 51-100 and 101-500 employees experienced the highest rate of insolvencies in April 2010 at 0.22, 0.26 and 0.24% respectively.
Rolf Hickmann, managing director of pH, an Experian company, said: “Our analysis shows that it continues to be vital for businesses to understand the circumstances of those they are doing business with and the risks they could expose their company to.
