Insolvencies cost taxpayers £298m in 2018

25/2/2019

When a company goes insolvent we often feel the pain as suppliers and creditors left with unpaid invoices.

However the tax payer also faces costs.

The bill for last year’s wave of insolvencies, which was largely driven by a downturn on the High Street, cost British taxpayers £298m, a 31% rise on the previous year.

Taxpayers picked up the huge bill for a wave of insolvencies last year, with payouts to redundant staff soaring to the highest level for five years.

The number of insolvencies in the retail sector jumped by 9.5% in 2018, while insolvencies at restaurants, pubs and bars were up by 17.9%, according to Altus Group figures.