Revised figures show that the UK economy had zero growth between July and September 2024.
Initial figures by the Office for National Statistics (ONS) had suggested the economy had grown by just 0.1% during the three-month period but that figure has now been revised down to 0%.
The ONS said the economy was weaker than initially estimated as bars and restaurants, law firms and advertising firms performed less well.
Reacting to the news, the CBI said "the economy is heading for the worst of all worlds".
Separate figures out last week showed inflation is rising at its fastest pace since March.
The Bank of England voted to hold interest rates on Thursday, stating it thought the UK economy had performed worse than expected, with no growth at all between October and December.
The Bank also downgraded its growth forecast from 0.3% for the final three months of 2024, to zero growth.
Mark Goodwin, Founder and Managing Director at Optimise said:
"With the economy firmly stuck in reverse gear and company insolvencies continuing to rise, there are numerous legitimate legal claims against fraudulent directors that might not be pursued due to lack of funds. Optimise is here to bridge this gap, ensuring that insolvency practitioners and creditor estates receive maximum returns. By providing the necessary funding, we help ensure that justice is served and creditors are fairly compensated."