Commercial lawyer demand may rise with insolvencies

Published on 23 Jul 2010 under category: legal

The number of business insolvencies in Scotland has risen dramatically during the first quarter of the financial year.
Statistics released by the Accountant in Bankruptcy reveal that 304 companies were declared insolvent between April and June 2010, up 66 per cent from 183 during the same period of last year.
Demand for commercial lawyers in Scotland could rise as the figure also represented an eight per cent rise on the previous quarter, when there were 282 insolvencies. In the third quarter of last year, 214 businesses folded.
Roy Roxburgh of insolvency trade organisation R3 said that tight credit conditions could mean that more businesses in Scotland face financial problems over the coming year.
"This may only be the beginning of a period of large numbers of corporate insolvencies and could extend well into 2011," he added.
According to figures from the Insolvency Service, there were 4,082 company insolvencies in England and Wales between January and March 2010, down 17.8 per cent on the number recorded over the same period in 2009.

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