At the height of private equity’s boom era, firms loaded up on debt to fund ever-larger deals. Three years on from the end of the boom, the industry remains shackled by the lingering debt of old deals.

Michael Corner-Jones, managing director with restructuring specialist Alvarez & Marsal, said: "There will be more restructurings this year than last, and a steady pipeline over the next couple of years. The difficult macroeconomic environment in Europe will pose problems for businesses that borrowed in 2007-2008 with over-optimistic business plans. These will need to explore equity cures or financial restructurings."