A UK law firm has entered administration after accumulating £250 million in loans. Woodville Consultants Limited, based in Pontypridd, describes itself as “one of the UK's leading litigation funders” and says it has financed more than 300,000 cases since 2019 through a group of law firms. Its portfolio mainly involved claims over unfair commission arrangements in vehicle finance agreements.
How the firm operated
Woodville reportedly raised money from investors through loan notes with fixed interest payments and repayment dates, then used these funds to finance law firm claims. Investors were supposed to be repaid in excess after successful cases. The company’s latest accounts, for the year to December 26, 2024, showed debts of £249 million. Turnover was just over £56 million, with profit after tax of £3.3 million.
Administration triggered by investors
Administration was brought on by investors who secured a court order after their loan notes went unpaid. Directors Peter Legge and Ann Marie Bell reportedly contested the order. Robert Goodhew and Andrew Stoneman of Kroll Advisory were appointed as administrators on July 16, according to Insolvency Insider.
Kroll’s response
Kroll said it had started work, which would include “obtaining information to understand all aspects” of the company and its affairs. It added: “We will also be looking to engage with the potential external funder who, as we understand it, may be prepared to lend funds to the company as previously notified to investors. We understand that the company’s cash resources are low. Any lending to the company will be to support its operations with the aim of protecting its loan book to the UK law firms.”
Rising insolvencies
This development comes after UK business administrations surged by 41% in January 2026, driven by high-street failures, rising wages, weaker consumer spending, and higher operating costs. Official Insolvency Service statistics show 151 companies entered administration in January, a 14% increase compared to January 2025. Sarah Rayment, managing director and global co-head of restructuring at Kroll, said: “The key question at this point in the year is whether distress and insolvencies will continue to rise given the pressures facing UK businesses. The reality is that every sector will face headwinds this year.”
Personal impact on directors
Todd Davison, managing director at Purbeck Insurance Services, said business failures can also affect company directors personally. “Many directors will have signed personal guarantees to secure loans, overdrafts or trade finance,” he said, warning that failed guarantees can put personal assets, including property and savings, at risk.
Other high-profile administrations
Other brands that have gone into administration this year include National Car Parks (NCP), which has been in business for almost 100 years, and Denby Pottery, which has been trading since 1809 and is known worldwide.
