Furlough and other government support measures appear to have stemmed a feared significant rise in corporate insolvencies in Scotland, according to data from KPMG.
In November, there were 35 administrations or liquidations in Scotland – 23 fewer than the same period last year.
Based on current trends, the total number of insolvencies for 2020 looks set to be significantly lower than the 491 cases witnessed in the previous year.
Support measures – including the further extension of furlough until April 2021 – have provided breathing space for many businesses that would have otherwise struggled to survive the pandemic.
Blair Nimmo, KPMG UK’s head of restructuring, said: “Comfort can be taken from the fact that we haven’t yet seen the deluge of companies falling into administration that many predicted, as the breadth and depth of support measures available, coupled with a supportive lending community, have given organisations vital breathing space