THE number of London businesses in financial difficulties increased dramatically last month according to new figures from a Begbies Traynor/City A.M. study.
Across the UK a staggering 40 per cent more firms are in financial dire straits than in the depths of the recession in January 2009.
In London this grows to 84 per cent – more firms in trouble than in 2009. Virtually every commercial sector shares in the pain, with the most dramatic deterioration seen in property services.
Nick Hood, partner at Begbies Traynor says the situation could deteriorate further. He said: “With the details of the Comprehensive Spending Review only emerging towards the end of the month, the worst is clearly still to come. It is hard to see a light at the end of the financial tunnel as we move into the dark winter months and through into 2011 with public spending cuts biting ever deeper.