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Insolvencies 'will run into next decade'
05.12.08
One of the country's busiest insolvency firms expects the avalanche of businesses going bust to continue well into the next decade.
Veteran insolvency accountant Ric Traynor, executive chairman of Begbies Traynor, said: "We do not expect a let up in work for several years.
"The evidence from the early 1990s' recession was that insolvencies continued to be high for another four to five years."
In a half-year trading update Begbies said it expects its profits for the 12 months to next April to show a 50% surge to around £10.5 million.
By next year Traynor said the firm will be employing 400 full-timers either turning round or administering the last rites to troubled companies - 20% more than at the start of 2008.
"This downturn is the worst we have ever seen because this time there just is no available money," he said.
