A legal firm in Bolton is going into administration after suffering "severe financial strain". 

Accident Injury Solicitors has announced that it is in the process of liquidation. 

The personal injury firm, which was based at Signature House on Blackburn Road, has now closed after being in business for 16 years. 

It says that the liquidation follows "severe financial strain", which was made worse by regulatory reforms in personal injury law and the "challenging" post-pandemic landscape. 

The firm says it recognises that the liquidation may pose "hardship" for its creditors. 

A spokesperson for the firm said: "Accident Injury Solicitors Ltd announces it is entering liquidation following severe financial strain exacerbated by recent regulatory reforms in personal injury law.

"The significant downturn in revenue and the challenging post-pandemic landscape made it increasingly difficult to sustain operations.

"The firm acknowledges the hardship this outcome may pose for its creditors, who have supported Accident Injury Solicitors over many years.

"Despite our best efforts to adapt to the changing market conditions, the whiplash reforms in particular placed significant pressure on our business model, affecting client volume and profitability." 

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The spokesperson added: "The firm made concerted efforts to diversify, but, regrettably, this was insufficient to offset the challenges.

"Accident Injury Solicitors Ltd remains committed to working with creditors and stakeholders to provide transparent communication throughout the liquidation process." 

Its Companies House page shows that it changed its name from Accident Injury Solicitors Ltd to Accident Injury Advisory Ltd on October 18. 

The entry for the firm on the website of regulatory body, the Solicitors Regulation Authority (SRA), says: "This firm is closing. It is still regulated to provide services to existing clients.

"You can contact it with any queries." 

The body states that, when closing, firms must notify their clients, the SRA and their indemnity insurance. 

It says: "When closing down your practice, you should plan the closure well in advance, where possible.

"Larger firms may need to prepare a detailed plan and should have a contingency plan for closure, merger or sale in the event of serious difficulties arising. 

"The interests of clients are critical, but disorderly closure of a law practice can also cause adverse impact on the courts and others dealing with the firm, such as those on the other side of a case or transaction. 

"Archiving closed files can be one of the highest costs of closure. You should manage your practice actively and prudently to fund archiving services and to make sure that closed files are archived and destroyed promptly where appropriate."