8:35 am, August 21, 2012
JULY saw a 41.7 per cent increase in car dealer insolvencies compared to July last year, figures from Experian reveals.
The firm reports the automotive sector saw 0.14 per cent of its population fail during July, with 51 businesses going under.
It was one of the few sectors to see insolvencies increase when compared to 0.11 per cent in June 2012 and 0.10 per cent in July 2011.
During July, 1,776 companies became insolvent, compared to 1,962 companies in July 2011.
The biggest improvements came from the UK’s largest firms, over 501 employees from 0.15 per cent last July to 0.08 per cent this year and also smaller firms with 11 to 25 employees – from 0.26 per cent last July to 0.19 per cent this year.
Max Firth, managing director, Experian Business Information Services, UK&I said: ‘Since March this year, when the insolvency rate peaked at 0.11 per cent, it has remained fairly stable – between 0.08 per cent and 0.09 per cent.
‘The lack of any real increase is clearly welcome and this picture is unlikely to change in the near future.’
