Preferences and Transactions at Undervalue in Company Liquidation
When a company enters liquidation in the United Kingdom, the liquidator has a legal duty to investigate the company’s financial affairs and review transactions that took place before insolvency. One important part of this process involves examining whether directors or the company transferred money or assets in a way that...
The Rise of Zombie Companies in the United Kingdom
In recent years, the term “zombie company” has become increasingly common in discussions around the UK economy and corporate insolvency. While many businesses survived the financial pressures caused by the pandemic, inflation, supply chain disruption, and rising borrowing costs, a growing number are now operating in a financially fragile state....
The Difference Between Cashflow Insolvency and Balance Sheet Insolvency
In the United Kingdom, insolvency is not always as straightforward as a company simply running out of money. Under the Insolvency Act 1986, a business may be considered insolvent in different ways depending on its financial position and ability to meet obligations. Two of the most important legal concepts in...
Why UK Company Insolvencies Are Still Near 30-Year Highs in 2026
Despite inflation easing compared to the sharp increases seen in 2022 and 2023, company insolvencies across the United Kingdom remain stubbornly high in 2026. Many businesses expected financial conditions to improve once inflation started slowing, yet insolvency figures continue to reflect severe pressure across multiple sectors of the economy. According...
Can Directors Be Investigated After Forced Liquidation?
When a company enters forced liquidation (also known as compulsory liquidation), it is usually the result of serious financial distress and creditor pressure, often led by HMRC. For directors, one of the biggest concerns at this stage is whether their actions will be investigated and what the consequences could be....
Why Directors Are Choosing Controlled, Voluntary Closure Instead of Forced Liquidation
In today’s challenging economic climate, more UK company directors are facing difficult decisions about the future of their businesses. With rising costs, increasing pressure from HMRC, and tightening cash flow, insolvency is becoming a reality for many. However, one clear trend has emerged: directors are increasingly choosing controlled, voluntary closure...
How Economic Pressure Is Changing the Way Companies Close
In recent years, the UK business landscape has been shaped by a combination of rising costs, economic uncertainty, and increased creditor pressure. From energy price
How to Spot Early Warning Signs of Insolvency in Your Business
Insolvency rarely happens overnight. In most cases, it develops gradually, with warning signs appearing long before a company reaches crisis point. Unfortunately, many directors either
Why Corporate Insolvencies Remain High Despite Economic Recovery Signals
Recent economic data in the UK has pointed towards gradual stabilisation. Inflation has eased from its peak, interest rates have shown signs of plateauing, and
How Directors Can Navigate Insolvency Risk and Legal Duties in 2026
The economic environment in 2026 remains complex for UK businesses. While some sectors show signs of stabilisation, many companies continue to face pressure from elevated
Impact of Rates Revaluation and Tax Changes on UK Insolvency in 2026
The UK insolvency landscape in 2026 is shaped not only by economic conditions but also by structural tax and property cost changes. Among the most
Lessons from the PPE Medpro Liquidation and Government Claims
The liquidation of PPE Medpro has become one of the most high-profile insolvency cases linked to the Covid-19 pandemic. The company, which secured substantial government
