High diesel costs put brakes on Wales Haulage firm

Business Health Statistics

| August 10th 2022

More News by Huw Powell

Date Published: 10th August 2022

High diesel costs put brakes on Wales Haulage firm

The soaring price of fuel has driven haulier, Scott Commercials Ltd to close with the loss of
10 jobs. Begbies Traynor has been appointed as liquidators of the company, which ceased trading in
late June 2022.

Established in 2013, the Ebbw Vale freight firm provided road haulage services to transport
operators across the UK. The liquidation is being handled by Bristol-based partner Paul Wood and Huw Powell, a partner in the Cardiff office.

Recent rises in PAYE, fuel, ad-blue (fuel additive) and tyres had created significant cash flow
issues for the business, resulting in the company fuel bills rising by approximately £4,756 net
per week from June 2021 to June 2022.

Commenting on the case, Begbies Traynor partner Paul Wood said fuel price inflation had
created immense pressures for many in the transport sector. He said:
“The last 12 months has been an incredibly difficult time for hauliers, who have seen their
overheads increase dramatically and rapidly. Despite efforts to reduce the impact, these
challenging trading conditions proved untenable for Scott Commercials, and we will be
working with the director to wind up the business and recover any assets on behalf of
creditors.

“The rapid rising costs of raw materials does illustrate the need for business owners and
directors to seek advice at an early stage if they are experiencing financial challenges. There
are sometimes steps that can be taken which will help to place a company on a more secure
footing - and reduce the risk of liquidation.”


About the author

Huw Powell

Partner, Cardiff and Swansea

Meet our Team of Experts

Huw is a chartered certified accountant with more than 14 years' experience working with businesses that are experiencing financial difficulties.

His impressive network of contacts and relationships with key stakeholders - from lenders and creditors to turnaround specialists – is key in strengthening Begbies Traynor's presence in Wales.

Huw's track record of success within insolvency speaks for itself and he is a major asset within the strong Cardiff setup, which has a combined total of more than 200 years' experience of recovery and rescue work.

Network of Over 100 UK Offices

Find your local Begbies Traynor Group office and speak to an adviser today.

Find your Local Office
0800 063 9221

Call our Confidential Advice Line. Calls to this number are free of charge.

Call us now...
Request a Meeting

We invite you to come and discuss your enquiry with us at your convenience.

Request a meeting...
0800 464 0871

Call our Confidential Advice Line. Calls to this number are free of charge.

Call us now...
Request a Meeting

We invite you to come and discuss your enquiry with us at your convenience.

Request a meeting...
0161 837 1700

Call our Confidential Advice Line. Calls to this number are free of charge.

Call us now...
Request a Meeting

We invite you to come and discuss your enquiry with us at your convenience.

Request a meeting...
Begbies Traynor Group plc, announces that it has completed the acquisition of CVR Global LLP
CVR is a leading independent firm of insolvency practitioners, forensic accountants and experts in other related complementary disciplines.
Read More →
 
Coronavirus pushes financially distressed companies over the half-million mark
Number of businesses in significant distress stands at 509,000 – the highest number measured by the Red Flag Alert research
Read More →
 
BTG Advisory accelerates growth with appointment of four new partners to its London office
BTG Advisory, the boutique advisory arm of Begbies Traynor Group announces the appointment of four new partners to its Canary Wharf office
Read More →
 
Eighty jobs saved with £1m sale of engineering business
South Yorkshire company Newburgh Precision rescued through administration
Sale enables 75-year-old business to continue trading
Read More →
 
Join thousands of professionals by signing up for our updates
Analysis and Opinion from our Partners
Top Industry News
Register Now →
 

Advice you can trust

We are accredited by the following industry leading organisations

Insolvency Practitioners Association Institute of Chartered Accountants in England and Wales R3: Association of Business Recovery Professionals ICAEW Business Advice Service Turnaround Management Association ICAS | The Institute of Chartered Accountants of Scotland

Contact the Begbies Traynor Group team

or Find your Nearest Office

Here at Begbies Traynor Group we take your privacy seriously and will only use your personal information to contact you with regards to your enquiry. We will not use your information for marketing purposes. See PRIVACY POLICY

Processing...

This site uses cookies to monitor site performance and provide a more responsive and personalised experience. You must agree to our use of certain cookies. For more information on how we use and manage cookies please read our PRIVACY POLICY