“Given the current environment, a growing lack of confidence among UK CFOs is not surprising. Continued uncertainty around Brexit, the snap election and other economic factors such as the US-China trade wars are likely to be weighing on the minds of finance leaders, given their responsibilities for risk management. Forecasts in Dun & Bradstreet’s latest Quarterly Industry Report suggest that, while the UK has narrowly avoided falling into a recession in Q3, real GDP growth is likely to expand by only 1.3% in 2020. These would be the lowest growth figures since the financial crisis in 2008 and it’s a challenging time for CFOs who are under increasing pressures to identify opportunities for growth in addition to managing financial risk.
“Our Q3 data for the UK shows that there were over 4,000 corporate liquidations reported during the quarter with the number rising across several sectors including services, retail and manufacturing. However, more positively, our analysis shows an improvement in payment performance for the third consecutive quarter based on the sample of data analysed – 44.7% of payments were made on time in Q3, compared to 37.2% at the beginning of 2019.”
Tim Vine – Head of European Finance & Risk Solutions, Dun & Bradstreet