As official figures show that the UK economy entered a technical recession in the last quarter of 2023, today we publish The IFT’s first quarterly update, covering activity in the turnaround sector as well as distress and insolvency statistics for Quarter 4 2023.
This update supplements our annual Societal Impact report which surveys our independent members and corporate partner firms. Last year’s report estimated that accredited turnaround professionals saved an estimated 55,000 jobs in 2022-23, helping UK companies to add £2.6 billion in shareholder value.
The vast majority of surveyed firms specialising in turnaround saw an increase in activity in the last quarter, with construction, real estate and financial services the busiest sectors seeking turnaround expertise.
Inflationary pressures and the costs of servicing debt were the top two reasons turnaround professionals saw underlying business distress, highlighting the difficult economic context for companies seeking support.
With thanks to FRP Advisory and our partners who contributed to this update. These updates will be released on a quarterly basis to provide a snapshot of trends in the turnaround sector and business distress.
