The number of businesses in Nottingham who are struggling has risen by 4 percent in the last quarter of 2018.
Data from Begbies Traynor’s latest Red Flag Report has shown 4,321 businesses in the city to be in significant financial distress. The report monitors UK companies financial health.
Sports and health clubs and bars and restaurants are coping the worst in Nottingham. Those that are in significant financial distress have increased by 10% and 13% over Quarter Four 2018.
However, hotels and printing and packaging firms are faring better then the previous quarter as there are less companies from this sector facing significant financial problems in Quarter Four of 2018.
Hussein Manzoor – Owner of Trent Kebabs
Images of Trent Kebabs
Hussein Manzoor, Owner of Trent Kebabs, said: “So Nottingham council they can help in a lot of ways, you know, they can cut taxes, they can reduce prices they are sky high anyway. you need a licence to stay open after 12 o’clock. It’s really difficult sometimes but its alright we’ll manage”
“I think Brexit has affected small businesses like us because we have a wide range of things, from chicken to burgers things like that, cheese they have become expensive for us. Because they used to come from Europe and now we get it from other places and its more expensive… I think Brexit is a big game.”
The day that Britain is expected to leave Europe is Friday, 29th March 2019. The uncertainty that surrounds Brexit has caused the UK services sector to hit a seven month low in terms of growth. It is widely thought that Brexit related uncertainty and concerns about a global economic recession has restricted growth since the UK public voted against remaining in the European Union on 23rd June 2016.
- The number of businesses in the whole of the UK showing significant financial distress now stands at 481,000.
- Nationally, UK businesses showing significant financial distress increased by 15,000 as winter has proven to be period of uncertainty.
- The sector hit the worst was Real Estate and Property which saw a increase of 7 % (3134) in the number of companies facing significant financial distress from Q3 2018 to Q4 2018.