SCOTTISH corporate insolvencies in the second quarter were down by 27 per cent on the same period of last year, analysis by KPMG reveals.

The accountancy firm highlighted the resilience of companies in the oil and gas sector, which has been hit hard by lower crude prices, as it said there had been 196 corporate insolvency appointments in the second quarter. This was down from 270 in the second quarter of 2016.

KPMG also noted a “cautious” approach from most companies, amid political and economic uncertainty arising from the Brexit vote and last month’s General Election.

There were 170 liquidation appointments in the three months to June, down from 246 in the second quarter of 2016. But the number of administration appointments, at 26, was up from 24. KPMG noted administration appointments “usually involve larger businesses”.

Comparing the year to June with the preceding 12 months, the number of corporate insolvencies fell to 867, from 935.

Blair Nimmo, head of restructuring for KPMG in the UK, said: “Oil and gas has come through a very difficult period and in order to survive many businesses in the sector have drastically changed their operating models and cut costs significantly. This has put them in a stronger position…We are seeing few insolvencies in this sector.”