Tuesday, June 03 11:27:19
The volume and value of judgments awarded against consumers has fallen considerably, according to new figures from Vision-net.ie.
It found that 331 corporate and consumer judgments were awarded during April 2014, totalling E19.3 million. Of these 226 judgments worth E14.6 million were awarded against consumers during April, amounting to an average of E64,733 per judgment. However, when compared with April 2013, the number of consumer judgments in April 2014 have fallen by 35pc, while the value of these judgments has also decreased by 53pc.
Commenting on the positive trend in consumer judgments, Christine Cullen Managing Director of vision-net.ie said that the reduction in both the number and value of judgments awarded against consumers is good news for the economy.
"As consumer debts fall, sectors heavily reliant on discretionary spending such as the retail or hospitality sectors, may benefit with a bounce in sales in the months ahead'. In respect of company failures, 112 Irish companies were declared insolvent in May 2014, an average of 4 insolvencies per day. The figure is in line with those recorded in May, 2013. The total insolvencies figures comprised 89 liquidations, 20 receiverships and 3 examinerships during May, 2014," she said.
According to Cullen this data indicates 'the Irish economy has stabilised but the real recovery can only be measured by a significant fall in the number of company failures'. Dublin accounted for a third of all company insolvencies, followed by Cork with 9pc and Galway and Wexford with 8pc and 7pc respectively. The highest number of company insolvencies were recorded in the professional services, construction, wholesale and retail and manufacturing sectors.
There was average of 107 start-ups formed per day during May or 2,783, down 12pc on the same period last year. Construction start-ups grew by almost 48pc, when compared with last year, similarly the number of start-ups in the transport and logistics sector grew by 41pc over the same period in 2013.
In terms of the geographical location of start-ups, Dublin continues to be the most popular location for start-ups, when compared with other parts of the country and even allowing for the differences in population size. This gap has widened over the last ten years. In 2004, Dublin was the location of 40pc of start-ups but by 2014 this has grown to 48pc, despite the capital being home to only 28pc of the national population. By comparison in 2004, Cork had 11pc of all start-ups but this has fallen to 9pc in 2014. Equally in Galway, over the same period, the percentage of start-ups has reduced from 5pc to 3.8pc.
"The significant divergence in the number of new companies being established in Dublin and in the regions outside of it is a cause for concern. A stronger focus on encouraging new companies to develop outside of Dublin, is needed to foster balanced regional development and ensure that Dublin's existing problems of housing supply and pressure on critical services are not exacerbated," added Ms Cullen.