< Back to previous page

Manufacturing administrations rise

Published on 23 Oct 2009 under category: legal

There has been a spike in the number of administrations in the manufacturing sector, a new study has revealed.

Research by Deloitte found that these increased by 33 per cent in the first nine months of the year when compared with the same period of 2008.

Meanwhile, there was a 35 per cent year-on-year rise in these during the third quarter, which may have resulted in increased demand for bankruptcy and insolvency solicitors.

Ross James, manufacturing partner for Deloitte, said that these figures are "not surprising".

He added: "However, the rate at which they have increased illustrates the fact that the sector is really suffering at the moment. Particularly badly affected sectors include metals and plastics manufacturers, tooling businesses and automotive parts suppliers."

In other news, earlier this week Reuters reported that Capmark Financial was about to file for Chapter 11 bankruptcy protection, citing a source with "direct knowledge of the situation".

If you require advice on Insolvency and Bankruptcy please call us on +44 (0)20 7831 0101 and ask for Katherine Sillett.