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insolvencies-coronavirus's Introduction

Coronavirus: Business rescue package has 'delayed the inevitable'

In July 2020 we reported on the rate of insolvencies and the changing status of companies during the coronavirus pandemic. The analysis suggests there may be many companies now operating as so-called "zombie companies": businesses that function day-to-day, but cannot pay off the full debt they owe or find cash to invest and grow.

The BBC Shared Data Unit looked at how many companies had posted insolvency notices in the London Gazette, the official paper of record for public notices. A company is insolvent when it can't pay its debts.

Our investigation found there was a spike of 4,200 insolvencies in March as the UK headed into lockdown.

You can find the briefing pack here with more on the methodology

Get the data

Quotes and interviews

  • Julie Palmer, partner, financial consultants Begbies Traynor
  • Stuart Adam, Institute for Fiscal Studies (IFS)
  • Richard Millward, business owner
  • Ric Traynor, executive chairman, Begbies Traynor
  • Shahid Hussain, founder of new food delivery business, Essex
  • Tom Parkinson, nurse who is hoping to register his baking business
  • Spokesman, Government

Visualisation

  • Multiple line chart: insolvencies during the first six months of 2019 vs 2020
  • Column chart: new companies by incorporation date, January to June 2020

Scripts and code

Partner usage

The Shared Data Unit makes data journalism available to news organisations across the media industry, as part of a partnership between the BBC and the News Media Association. Stories generated by the partnership included:

Related repos

You can find all coronavirus-related stories by the BBC data units tagged 'coronavirus' here

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