The road transport industry has lost at least £82m in revenue in the past 12 months due to unrecoverable losses following company collapses, according to research conducted by Motor Transport.
Among the costliest failures this year were: Amtrak, with a £35m deficiency; the Innovate group
of companies, with a total deficiency of £19m; Macfarlane Transport (£11.6m deficiency); Ramage (£6.1m deficiency); and E Pawson (£3.5m deficiency).
The research follows data from Equifax that shows company failures in the transport and communications sector increased by 14.4% in Q3 compared with Q3 in 2007, while October and November were considerably worse, failures increasing 47.2% compared with the same two months a year ago.
Neil Monroe, external affairs director at Equifax, warns: "It is crucial that businesses use rigorous credit checks, alongside ongoing monitoring of the financial
status of their customers and suppliers."
Reed Business Information Limited.©2009
