Experts warning failures may rise

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SIGNS that the economy is recovering may be coming too late for many “fragile” businesses, according to experts, after a rise in the number of companies going bust in Scotland.

Official figures from the Accountant in Bankruptcy yesterday showed a 28.7 per cent quarter-on-quarter rise in the number of firms failing to 184. The figure was down by 56.2 per cent year-on-year, compared to last spring’s record 420 failures.

Bryan Jackson, a partner at accountancy firm BDO, said: “There are definite signs of an improvement but, for many fragile businesses, these are coming too late.”

Fiona McKerrell, a partner at law firm HBJ Gateley, added: “There are still a lot of businesses that are barely limping along and won’t be able to endure much more.”