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Untitled 10 September 2026 At 124906

Julie Palmer

Managing Partner and Licensed Insolvency Practitioner

Stephen Powell

Stephen Powell

Partner

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Hotel Keycard been given

Financial distress increases for Hospitality and Leisure as industry seeks further support

The number of Hospitality and Leisure* businesses in ‘critical’ financial distress saw an annual increase above the national average in Q2 2026 compared to the same period in 2025 according to BTG’s latest Red Flag Alert.

Haulage company in financial difficulty

The business was a group of haulage companies with an annual turnover of approximately £20 million and with approximately 150 employees. The core business was time critical delivery of weekly and monthly periodicals.

Business team looking at cash flow

How to improve company cash flow

Company cash flow, or the lack of it, is the most common cause of limited company failure in the UK. When the cash in the business becomes squeezed, it becomes difficult to pay your debts on time, order raw materials, pay staff, fund marketing campaigns and operate effectively.