Research & Reports

Business Insolvency Statistics

Company insolvency figures, updated July 2026.

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Chapter 1

Overview

UK business insolvencies rose in July 2026, highlighting ongoing pressure on businesses across the UK and Northern Ireland.

A total of 2,573 UK businesses entered insolvency in July 2026, a 15.4% increase on June and a 1% rise year-on-year.

While insolvency levels fell significantly between the first and second quarters of the year, dropping by over 16% in Q2 compared to Q1, July's increase suggests businesses conditions remain challenging. Insolvencies continue to be elevated across major sectors, painting a mixed picture.

Businesses are under sustained pressure from rising operating costs, ongoing supply chain disruption linked to geopolitical tensions, high interest rates, and weak consumer demand. Collectively, these factors are affecting margins, with businesses less resilient to further economic shocks.

The pressures facing the UK high street remain evident, with well-known brands such as TGJones. GAME, Quiz and The Revel Collective (Revolution, Revolución de Cuba, Peach Pubs and Founders & Co.) entering administration this year.

July at a glance:

  • Total Insolvencies: 2,573 insolvencies across the UK and Northern Ireland.
  • Month-over-Month Change: +15.4% vs. June 2026
  • Year-on-Year Change: +1% vs. July 2025
  • Sector Impact: Construction continues to be the most affected sector, with 422 insolvencies

If you want to re-use this data, please contact [email protected]

Chapter 1

Insolvencies by Month

Total number of insolvencies by month.

A total of 2,573 businesses across the UK and Northern Ireland entered insolvency in July 2026, a significant increase from June and a slight increase year-on-year.

Although the year-on-year figures suggest relative stability, significant underlying pressures remain. Many businesses continue to grapple with relentless cost pressures, including higher wage bills and supply chain disruption. Ongoing geopolitical tensions are also contributing to a heightened uncertainty in the market, further exacerbating risk for businesses already operating on thin margins.

To re-use this data, contact: [email protected]

Chapter 1

Insolvencies by Sector

The total number of insolvencies by sector YTD.

Construction remained the UK's hardest-hit sector in July, with 422 firms entering insolvency, accounting for 16% of all business failures that month.

Other sectors that are traditionally more exposed to high insolvency rates also saw an increase. Wholesale and Retail experienced 337 insolvencies, while Accommodation and Food Services saw 360 failures, an increase on the previous month. Combined, these two sectors represent 27% of all insolvencies for the month, underscoring their vulnerability amidst ongoing economic and geopolitical pressures.

The table below provides a year-to-date (January-July 2026) breakdown of insolvencies by sector, comparing trends over the past five years (2022–2026) to highlight sector-specific shifts and challenges.

Chapter 1

Q2 2026 Analysis

Total insolvencies eased during Q2 2026, with 7,224 total insolvenices in Q1 compared to 6,869 in Q2. This suggests some stabilisation in the rate of business failures. 

Despite this improvement, insolvency levels remain relatively high by historical standards and continue to reflect ongoing financial pressures across parts of the economy.

Insolvencies remained heavily concentrated in Construction and other consumer-facing sectors. Construction recorded 1,177 insolvencies between April and June, and Wholesale and Retail followed with 885, highlighting the ongoing cost pressures and weak consumer demand. Despite this, insolvency levels in both sectors for the quarter were lower than Q1.

Overall, Q2 2026 data suggests that while insolvency pressures remain, the sharp increase experienced in Q1 was not sustained. This points to a degree of stabilisation.

Want to explore the data for yourself?

Whether you want to understand the impact of Insolvencies across a group of sectors or the likelihood of an individual company becoming insolvent, you can find all of this data and more within the Creditsafe platform.

Chapter 1

Methodology

Creditsafe uses the following statuses to determine if a company has become insolvent and will count insolvency based on its first insolvency trigger from one of the statuses below:

  • In Liquidation.
  • Administrator Appointed.
  • Appointment of Liquidator.
  • Meeting of Creditors.
  • In Administration.
  • In Receivership.
  • Administrative Receiver Appointed.
  • Administration Order.
  • The company is wound-up.