At least one in 20 businesses has gone under in the year to October, as failures hit the highest level in four years. New data by debt-monitoring agency, CreditorWatch, has revealed insolvencies reached 5.02 per cent in October. Inflation, high rents, the cost of labour and consumers tighening spending have all hit businesses hard. According to the data, the hospitality and construction industries are doing it especially tough. CreditorWatch chief executive Patrick Coghlan says insolvencies are set to increase over the next 12-months. But he says once interest rate cuts start and consumer confidence improves, the hospitality sector change “virtually overnight.”
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