Well the autumn statement made for depressing reading for all of us. We are pleased that Jeremy Hunt confirmed what we have been saying for a long time – that inflation is due to the war in Russia but that it little comfort with the prospects for UK Plc and households.
As if we did not have enough problems the additional tax burdens are going to hit hard and not just for domestic finances. With even less disposable cash available and the additional rise in energy costs next year all businesses are going to see a fall in demand at the same time as costs continue to increase. As yet, no further information has been forthcoming in terms of ongoing support for businesses with their energy costs which just adds to the worries.
There was a glimmer of light in the retail sales figures which show a rise of 0.6% last month after the fall of 1.5% in September although economists are forecasting that this uptick is a blip, which given all the negative news we are facing seems to us to be an entirely reasonable assumption.
There is no doubt that we are all in for a very tough few years and we continue to urge businesses not to bury their heads in the sand. If you are involved with, or know of any business or individuals that are struggling financially we suggest that you talk to us.
The directors of SKSi look at a formal insolvency process as the last resort – not the first. It is their long-held belief – borne out with proven experience – that seeking advice at the first sign of financial pressures will lead to a more favourable outcome. Conversely, doing nothing and hoping the problem will go away is far more likely to lead to a critical outcome and insolvency.
We are always available for an initial zero cost assessment which can be arranged by contacting Alistair Dickson.