Boost as administration numbers drop 36%

THE number of companies going into administration in the first nine months of 2010 is down by 36 per cent on the same period last year.

According to figures released by Deloitte yesterday, the statistics covering the year to date also represent a 20 per cent fall on the same period in 2006 - the last full year before the financial downturn began.

Deloitte in Scotland partner John Reid said: "Whilst the economy holds its breath for the outcome of the spending review, these figures offer a glimmer of hope.

"For the first time since the financial crisis began, we're beginning to see a consistent drop in the numbers of companies hitting the wall."

The biggest drop was seen in the retail sector, with administrations down 50 per cent on the same nine month period in 2009 and falling in each of the first three quarters of this year.