Increase in firms on edge easing

ALMOST 200,000 British companies are in serious financial trouble, according to the Red Flag Alert report issued by Begbies Traynor.

The business rescue specialist said that while the number of companies in trouble has slowed in the last two quarters, it has risen 43 per cent from a year ago.

The report, which gives figures for 2009’s second quarter, says sectors like recruitment, engineering and manufacturing are facing more problems, while construction and professional services are seeing fewer difficulties.