Concern over the stability of the euro currency and high unemployment have severely affected consumer sentiment across the domestic sector and impacted on the continued growth rate of corporate insolvencies in Ireland. New statistics released by InsolvencyJournal.ie reveal that corporate insolvencies for 2011 have totalled 1,638. This total shows a 7% increase on the figure of 1,525 for 2010 and over 16% increase on 2009 figures. Geographically Leinster accounted for over 63% of all insolvencies, with Munster accounting for 21%, Connaught 11% and Ulster just 5%.

Commenting on the figures Ken Fennell, Partner with kavanaghfennell the firm who compile the data said “2011 proved to be another very challenging year for Irish businesses as total corporate insolvencies continued to rise and were very much in line with our predictions at the start of the year”

Corporate receivership totals for 2011 were 284, an increase of over 26% compared to 225 in 2010. Statutory appointed receivers by Nama accounted for 37 of the total 284 appointments. Some high profile Nama appointed receivers for 2011 included; Whelan’s Quarries and Bowen Construction, Nama also moved in on developers such as Sean Dunne, Grehan Brothers, Paddy Kelly and Derek Quinlan during the year. “During 2011 Nama showed they are prepared to move against borrowers when they believe it will result in more beneficial recoveries for the tax payer” Fennell commented.  

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