Whilst corporate insolvency statistics generally focus on creditors’ voluntary liquidation, statistics for October evidence a significant increase in winding up petitions being presented by creditors.
A total of 406 petitions were presented in the month and, as you would expect, HMRC accounted for a large percentage of these (26%). However, unusually, 99 of these petitions were presented by a single bank.
Historically, it is rare for a bank to present a petition. Indeed, for the period January 2022 to September 2022 the bank in question issued no winding-up petitions. This leaves us to question the reasoning behind the bank’s stance. Is it due to the bank having to exhaust all avenues of recovery before government backed loans are repaid, or is it the bank enhancing their debt enforcement policy?
The presentation of a winding-up petition is generally the last resort for a creditor and we would urge those receiving one to try reaching a sensible alternative, such as a payment plan. However, if this is not achievable and you are concerned that a winding-up petition could be presented against your company or, indeed, you have any insolvency-related issue, then please contact PBC Business Recovery & Insolvency to discuss and advise on your situation on 01604 212150 or email to enquiries@pbcbusinessrecovery.co.uk.