An accountancy firm with an office in Hexham has commented on the latest insolvency statistics.

Company insolvencies in England and Wales rose by 16 per cent in June compared to the previous month.

According to Azets' partner and insolvency practitioner Kerry Pearson, there were 2,361 companies that became insolvent in June 2024.

This figure is 17 per cent higher than the same month in 2023.

Kerry Pearson said: "This represents a significant 16 per cent increase from May 2024 and a 17 per cent rise compared with the same month last year, which should be cause for concern as many businesses close out the first quarter of the financial year."

She also stated that the most susceptible sectors were facing sustained pressure due to the current economic situation.

Personal insolvencies also rose significantly - with a 107 per cent rise in Debt Relief Orders in June 2024. This meant that there were 4,383 orders across England and Wales in comparison to the long-term average of 2,114.

Azets' Louise Brittain highlighted the £90 entry fee for the order being stopped as a contributing factor to the increase. "This begs the question as to how many more people will now enter this process and how many who owe more than £50,000 are unable to enter bankruptcy due to the huge entry fees now being charged to do so."

Azets was named the National Accountancy Firm of the Year in the 2024 North East Accountancy Awards.