SSB Group - Case Update

The joint administrators of failed Sheffield claims business SSB Group have revealed what drove the firm into administration and what the future holds for its ongoing files.

SSB Group operated as a no-win, no-fee civil litigation firm on behalf of consumers, financing upfront costs associated with cases and ongoing working capital through loans from six main litigation funders. Until recently, the firm employed 221 staff and operated from two premises in Sheffield. As at October 2023, the firm had almost 43,000 live cases.

SSB Group experienced cashflow pressures due to challenges in its case portfolio, an overhead cost base that was geared towards volumes greater than its case load, adverse court of appeal decisions in relation to certain cases and a cessation of referrals from a key source due to outstanding arrears. Anthony Collier and Kelly Burton of FRP were appointed joint administrators on January 4, after it became clear that a solvent solution could not be reached.

On their appointment, the joint administrators completed a pre-pack sale with Katch, the firm’s biggest secured creditor, comprising a sale and purchase agreement with law firms Harcus Parker and Consumer Rights Solicitors. Deals have also been entered into with Cheval Legal, Recovery First Panel and JMR Solicitors.

90 staff were made redundant prior to the administrators’ appointment, and a further 109 were made redundant immediately on appointment or thereafter. The remaining 24 employees have been retained to assist with the transfer of client data.

The joint administrators have been assisted by Pinsent Masons. Their proposals can be found HERE.