The Bank of England’s Monetary Policy Committee (MPC) minutes were released yesterday. The MPC has now conceded that inflation will indeed rise above 4% and stay there until at least Q2 2022. UK Interest rates are to be kept on hold at 0.1% – meaning the stagflation threat is real and the current global supply chain crisis could fuel a severe dose of.
Nick sheds some more light on what is happening in the world of insolvencies. August insolvencies were up 22% from July, and with the moratorium on winding-up orders phasing out from October 1st, the number of insolvencies is expected to keep rising.
There are an alarming 235,000 zombie companies in the UK (companies with negative balance sheets of at least £20,000), up 46% from a year ago… The total negative net worth of these zombie companies is a whopping £340bn!