Insolvency-related activity increased by 26% in North West last month
Insolvency-related activity rose by 26% in the North West last month, says R3, the UK’s restructuring, turnaround and insolvency trade body.
R3’s analysis of data provided by Creditsafe indicated an increase in insolvency-related activities from 350 in September to 442 in October.
The North West figure is the second highest in the UK, behind Greater London with 474 instances. October’s figure also marks the highest monthly total since April 2025’s figure of 473, and an increase of 1% on the same period in 2024.
The figures, which include administrator and liquidator appointments together with creditors’ meetings, mark an increasing trend mirrored in most of the UK, with a decrease only in Wales.
Fran Henshaw, chair of R3 in the North West viewed the statistics as disappointing but not surprising. She explained:
“We remain in a period of great economic uncertainty which inevitably leads to fluctuations, but a 26% rise in insolvency-related activity in October is clearly a cause for concern.
“Business leaders up and down the country, many of whom are delaying major investment or recruitment decisions, will be hoping for measures that help restore confidence in the November Budget.
“Whatever the outcome, the pressure on businesses remains considerable. They are facing higher employment, energy and materials costs, creditors are taking more proactive measures, national growth is sluggish, the cost of borrowing remains relatively high and customer spending is subdued.
“In short, many businesses are battling for their very survival - and at R3 we will continue to support them wherever we can.”
The latest Creditsafe data also shows that the number of companies with invoices that had gone past their payment date rose slightly from 59,113 in September to 59,381 in October.
The number of start-ups in the North West decreased from 7,485 in September to 7,469 although the figure is 7% up on a year ago.
Fran, who is also a restructuring and insolvency director at Menzies LLP continued: “We encourage business owners across the region to remain watchful. Be alert to signs your business could be financially distressed and seek advice as soon as there is a hint of financial difficulty.
“Most R3 members offer an initial consultation free of charge, giving business owners a chance to understand their options before matters become critical.”