The latest trade credit news and analysis for Great Britain
In this edition:
National Timber Group, owners of brands including Arnold Laver and Thornbridge, have gone into administration. Thirteen of the 60 sites have closed, with a loss of 550 jobs. A buyer is being sort for the remaining branches, which employ a further 1,150 employees.
The administrators blamed a ‘difficult trading period’. In 2023, turnover fell from £348 million to £300 million, and they suffered a £22 million loss compared to a profit of £2 million the year before.
Arnold Laver dates back to the 1920s. It was taken over by Cairngorm Capital in 2018 and then merged with other brands to form the National Timber Group.
In a recent article in Construction News Mark Francis, group finance director at Higgins Group, states, “There is nothing that beats an open and honest conversation with that subcontractor. It insulates you an awful lot from subcontractor insolvencies.” Supply Chain manager Oliver Burrows adds, “It’s a warts-and-all conversation that goes both ways. If they’ve got a cashflow problem and need help, don’t hide it, because it causes us more pain if they do become insolvent.”
Credit insurance provides protection for receivables, payments for goods or services provided but not yet paid for. Wendy Sumner, director at GB Construction at Willis, a WTW business, insolvency risk as “one of the most acute exposures” facing project owners. High inflation, labour shortages, elongated payment cycles and fixed-price contracts agreed in very different economic conditions have driven the surge in failures. Construction continues to produce some of the highest number of business insolvencies in the U.K. and Sumner stresses the ripple effect of a single collapse that includes project delays, cashflow disruption and expensive disputes.
Liberty Bar and Restaurant Group Ltd, owner of the TGI Fridays restaurant chain, has gone into administration. This led to the immediate closure of 16 branches with the loss of 456 jobs. The remainder of the UK branches were bought by Sugarloaf, who own the brand worldwide, saving 1,384 jobs. The chain was founded 60 years ago in the U.S. and opened its first branch in the U.K. in 1986.
In an article published on 16 January 2026, Allianz Trade review the likely impact that U.S. intervention in Venezuela, Greenland and Iran could have on the world economy. In Venezuela, the country is expected to remain unstable and unattractive to oil companies following the capture of President Maduro. It is therefore unlikely to have a major impact on the word economy.
Allianz Trade forecast that the U.S. administration will tone down their rhetoric on taking over Greenland under pressure from allies. In this scenario, there will be little impact seen in markets.
Iran faces a major, severe economic crisis, with the currency depreciating by 70% in 2025 and youth unemployment at 20%. Sanctions and U.S. airstrikes have weakened the economy. President Trump has announced a 25% tariff on any country that trades with Iran and has not ruled out military action. Allianz believes the most likely outcome is that the regime will survive.
The Revel Collective, owners of Revolution, Revolution de Cuba and Peach Pubs, has called in administrators. Twenty-one of their 62 sites will close immediately. The remaining Revolution and Revolution de Cuba bars were sold to Neos Hospitality Group, and the Peach pubs bars were sold to Coral Pub Co, saving a total of 1,582 jobs. The closures come as the government announced a 15% discount on business rates to help pubs and music venues.
Tom Bryant, risk underwriter at Tokio Marine HCC, has published a report on the UK metals sector. The industry continues to struggle due to global overcapacity, low demand, high energy costs and rising trade barriers. In 2025, the U.K. Government had to nationalise British Steel's Scunthorpe steel plant and Liberty Steel’s plant in Yorkshire. U.S. trade tariffs still apply, although the U.K. has better access to the U.S. market than many competitors. The EU are introducing tariffs on imports originating from carbon-heavy blast furnaces in China or India, which could lead to imports being re-directed to the U.K.
More positively, business failures in the sector were down in 2024 and continued to fall in the first three quarters of 2025.
Claire’s Accessories and discount retailer the Original Factory Shop have gone into administration for the second time in four months. Modella Capital bought Claire’s out of administration in September and is looking for a buyer. Claire’s has 154 stores with 1,355 staff, while the Original Factory Shop has 140 stores with 1,220 staff. Modella blamed tough trading conditions and ‘alarmingly’ low Christmas trading. Modella bought WH Smith’s high street chain and Hobbycraft last year.
There were 5,550 insolvencies in England and Wales in the fourth quarter of 2025. This was a decrease of 9.5% compared to the previous quarter and equal to the same period last year.
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