Commenting on the report there were 304 corporate insolvencies between April and June this year, up 66% on the same period last year, Liberal Democrat Finance spokesperson Jeremy Purvis MSP said:

“This latest news shows that the Enterprise Networks reform is not working.

“For each individual business this is profoundly bad news, but in a wider sense it also shows that Scottish Government changes to the Enterprise Network meaning businesses with over a million pound growth will only receive support.

“This was clearly the wrong thing to do in the face of an economic downturn.

“Very many businesses have therefore been left struggling to access finance from banks and receive support from what used to be their local enterprise company.”