What impact public sector cuts?

by David Carter on 30 July 2010

80% of credit managers think the cuts in public spending will drive a big increase in insolvencies next year, according to credit reference agency Graydon. A similar number also believe that this will be added to by the increasing number of applications for the Time To Pay tax deferral scheme that are being rejected by HMRC.

HMRC has also refused to publish who has applied for the scheme, so it is impossible for credit managers to anticipate whether their supply chain will be affected by the ending of this scheme.

Given this expectation of business failure, coupled with the ending of Time To Pay, you would expect credit managers to be more actively monitoring with of their customers’ are heavily dependent on public sector contracts and are therefore most at risk. But, surprisingly, only 33% of those surveyed said they were already actively monitoring as part of their own supply chain risk management procedures.

© Sheriffs High Court Enforcement Ltd. Please contact us to request permission to reproduce this article.
Disclaimer: The statements and opinions expressed in this article are those of the author and do not necessarily reflect those of Sheriffs High Court Enforcement Ltd, trading as The Sheriffs Office. Sheriffs High Court Enforcement Ltd does not take any responsibility for the views of the author. The author will not be held responsible for any comments posted by visitors to this site. Please note that this article does not constitute legal advice. The author has used his best endeavours to make this article as accurate and complete as possible, but requests that the reader be aware that the law of England and Wales frequently changes. The author strongly advises the reader to take legal advice before embarking on any enforcement action.

“As you can imagine, it was quite a traumatic ordeal fighting a county court case that lasted around two years, but when you are convinced you are in the right it is something you must do, whatever obstacles are thrown in your way. Eventually judgment was made in my favour and the court awarded me damages with an order they be paid within 14 days. Needless to say no money was forthcoming and I was unsure what to do next. The court advised I talk to the Sheriff's Office in Croydon, so I did, and that proved a major turning point. The very next morning somebody turned up in Cardiff to meet me and guide me through the options. I duly filled in the paperwork, paid a small legal fee, and within days they were onto the case. Despite encountering various difficulties along the way, the SO kept me regularly updated, both by email and on the phone with regard all actions they were taking on my behalf, For several weeks they worked what seemed like unceasingly on the case, I was amazed when out of the blue they contacted me to say they had successfully collected the money which has now been delivered to me, with interest and full refund of the small legal fee. From the time they were first brought in on the case to money being in my bank account was no more than six weeks. Thank you so much SO – a job well done! A shining example to us all!. Anyone wanting a reference about their work – just ask! ”

Haydn P., Cardiff


Sign-up for our newsletter: