Business insolvency Stats March 2021

Monthly insolvency statistics March 2021

Business insolvency Numbers for march 2021Monthly company and individual insolvency statistics for England & Wales and Northern Ireland, and monthly company statistics for Scotland, in response to the coronavirus (COVID-19) pandemic.

Overall, the numbers of company and individual insolvencies remained low since the start of the first UK lockdown in March 2020, compared to that in the same time period in 2019 (pre-pandemic).

This is likely to be driven by the Government measures put in place in response to the coronavirus pandemic, including temporary restrictions placed on the use of statutory demands and certain winding up petitions and enhanced government financial support for companies and individuals.

Insolvency Stats march 2021Company Insolvencies in the UK

In March 2021 there was a total of 992 registered company insolvencies across England and Wales, further broken down as follows:

  • 883 creditors voluntary liquidations (CVLs) – 3% lower to that in March 2020 and 23% lower to March 2019
  • 74 administrations – 44% lower to that in March 2020 and 58% lower to March 2019
  • 25 compulsory liquidations – 86% lower to that in March 2020 and 90% lower to March 2019
  • 10 company voluntary arrangements (CVAs) – 44% lower to that in March 2020 and 66% than in March 2019
  • 0 receiverships

These figures are 20% lower than that in the same month the previous year, 37% lower than that in the same month two years before and an increase compared to February 2021.

Note: between 26 June and 31 March 2021, four companies were granted a moratorium and five had restructuring plans sanctioned by the court. These new procedures were created by the Corporate Insolvency and Governance Act 2020. Low usage of these legislative tools is thought to be due to the Government support which remains in place for companies until 30 June 2021.

Company Insolvencies in Scotland

March 2021 saw 43 company insolvencies in Scotland, comprising of 11 compulsory liquidations, 27 CVLS, 4 administrations, 1 CVA and no receiverships. Overall, this is a reduction of 43% company insolvencies, compared to that in March 2020.

Historically, the number of company insolvencies registered in Scotland has been driven by compulsory liquidations but since April 2020, there have been more CVLs registered compared to compulsory liquidations, for ten out of twelve subsequent months.

Company Insolvencies in Northern Ireland

In March 2021, there were 7 company insolvencies in Northern Ireland; comprising of 5 CVLs, 1 administration and 1 CVA. There were no compulsory liquidations or receiverships. The total figure here was down by 77% from March 2020, but there was 2 more company insolvencies in total compared to February 2021.

Advice

We publish a summary of the reports here each month. For advice relating to support, insolvency or recovery options, please contact us.

* This content and data was reported in full in the Insolvency Service Statistics for March 2021 published 15 April 2021 – see the full report here: Monthly Insolvency Statistics March 2021 – GOV.UK (www.gov.uk)

Image source: The Insolvency Service Monthly insolvency statistics

Next insolvency statistics release

Individual and company insolvency statistics for April 2021 will be released on 18 May 2021.

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Insolvency statistics for the UK- February 2021

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