England and Wales business CCJs fall 58%
County Court Judgments (CCJs) against businesses in England and Wales fell 58 percent in Q3 2020, compared to the same quarter in 2019, according to figures released today by Registry Trust.
The number of CCJs against businesses decreased from 37,589 in Q3 2019 to 15,970 in Q3 2020. The total value of CCJ debt owed by businesses fell by 24 percent, from £106 million to £81 million. The average value of business debt hit £5,063 this quarter, 79 percent higher than in Q1 2019. The median value more than doubled from £902 to £1,919 over the period.
Larger incorporated businesses fared better than small businesses this quarter. The number of judgments against incorporated businesses fell by 64 percent, from 29,571 in Q3 2019 to 10,756 in Q3 2020. The total value of judgments fell by 24 percent from £82 million to £63 million. The average value has more than doubled from £2,790 to £5,844, with the median value up 153 percent from £902 to £2,280.
CCJs against smaller unincorporated businesses also fell significantly but not by as much as those against larger businesses. The number of judgments fell by 35 percent from 8,018 to 5,214, with the total value dropping from £24 million to £18 million, a fall of 24 percent. The average value rose from £2,951 to £3,452, up 17 percent. The median value rose by 15 percent from £1,226 to £1,405.
The number of High Court Judgments against businesses rose from six in Q3 2019 to 50 in Q3 2020, with the value rising from under £1 million to £136 million. The small number of registered High Court Judgments means these figures are subject to large fluctuations.
Mick McAteer, chairman of Registry Trust said: “The fall in judgments against businesses this quarter is encouraging. Interventions by government have shielded businesses against the worst economic impacts of Covid19. But, the damage to business finances could begin to show up later on”.