About

What is FrictionIndex?

FrictionIndex is a proprietary corporate stress intelligence platform designed to identify changes in UK business distress before they become widely reflected in conventional economic data.

The platform monitors corporate stress conditions across 21 UK sectors, transforming official corporate event data into structured indicators that help users assess changing conditions within the UK economy. Through its proprietary methodologies, scoring models and analytical framework, FrictionIndex provides a consistent view of relative stress levels across sectors, regions and time periods.

Who is it for?

Credit & Risk Teams
Early warning on sector-level stress ahead of credit events and portfolio reviews.
Sector Analysts
Weekly data on corporate distress composition, trajectory and regional concentration.
Insolvency Practitioners
Pipeline intelligence across sectors and regions, updated every week.
Advisors & Consultants
Macro context for client-facing sector assessments and market briefings.

How is the index calculated?

FrictionIndex combines official corporate records with proprietary analytical processes to generate sector-level and national indicators of corporate stress. The platform evaluates the significance and characteristics of underlying corporate events using proprietary scoring, calibration and validation methodologies to produce consistent and comparable measures of changing market conditions.

The underlying methodology is continuously maintained and refined to ensure that the resulting indicators remain relevant, consistent and reflective of prevailing corporate stress conditions.

The platform is designed to help users identify trends, inflection points and changes in the trajectory of corporate conditions rather than predict the outcome of any specific company, insolvency event or market movement.

Data sources

FrictionIndex is derived from official UK corporate records and publicly available regulatory sources. Data is processed using proprietary methodologies and subjected to ongoing validation and quality assurance procedures. Whilst every effort is made to maintain accuracy and consistency, users should be aware that underlying source data may occasionally contain errors, omissions or delays outside the control of FrictionIndex.

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