Business failures up 60% on 2007

THE number of creditors’ voluntary liquidations, high court liquidations, receiverships and examinerships in the first quarter in 2008 has increased by more than 60% on the same period in 2007.

Declan Taite, FGS corporate restructuring and& insolvency partner, said figures compiled by FGS show 130 companies were placed in liquidation, receivership or examinership in the first three months of 2008, representing a 60.5% increase on the 81 failures for the same period in 2007.

If failures were to continue at the same rate for the rest of the year we could expect a sharp increase in business failures in 2008, said Mr Taite.