Tens of thousands of so-called “zombie” businesses could collapse this year as mounting cost pressures and weak demand push companies to breaking point, insolvency specialists have warned. In total, 67,369 companies were identified as facing critical distress, according to Begbies’ latest Red Flag Alert report. The long-running study analyses public filings such as county court judgments and company accounts, alongside Begbies’ own financial stress scoring, to assess sustained deterioration in key financial indicators. Predictions of a mass clear-out of zombie firms have been made repeatedly since the 2008 financial crisis, yet a dramatic spike in insolvencies has not materialised outside specific categories. Analysts note this is largely because the UK now has far more companies on the register than it did during the financial crisis.