Report reveals how suppliers are on the verge of collapse

More than 100 food and drink suppliers to supermarkets are at risk of collapse, according to a hard-hitting report from corporate restructuring specialists Begbies Traynor.

It blames the supermarket price war that is squeezing suppliers.

The report will heighten fears about a trade credit insurance crunch among suppliers.

Last month credit insurer Atradius warned that supermarket suppliers to the “Big Four” supermarkets faced a “perfect storm”.

Suppliers risked being delisted and having their payment terms extended as the supermarkets cut the number of products they sell to ease cash flow.

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