Ana Boata, Senior European economist at Euler Hermes, the world’s leading trade credit insurer, said:
“We forecast the number of UK business failures to reach 23,640 this year – a nine per cent rise on the 2018 figure - even if a deal is agreed with the EU before the March deadline. This is due to long-lasting Brexit related uncertainty, ongoing pressure on company finances from an increase in late payments, tighter monetary conditions, sluggish consumer spending and deteriorating margins.
“The prospect of a no deal Brexit raises the risk of a much sharper increase in insolvencies, which could see the forecast increase to 26,000 firms in 2019 if the UK leaves on WTO terms (+20% annual increase).”
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