The number of companies in the North East suffering late payment from customers has risen for the sixth consecutive month, adding to the economic challenges facing firms.
Analysis by insolvency and restructuring trade body R3 found that 13,503 North East firms were dealing with more than 200,000 overdue invoices, while the number of insolvency-related activities in the region – which includes liquidator appointments, administrator appointments and creditors’ meetings – went up from 70 to 76, a third consecutive month of rises.
The figures are the latest worrying sign for the regional business community, and come amid a number of reports that show businesses are being faced with significant challenges from rising costs, supply chain issues and labour shortages. A number of business groups are calling on the new Prime Minister due to take office next week to make action to support small and medium businesses their first priority due to the unprecedented economic challenges facing most companies.
