Research & Reports

Business Insolvency Statistics

Company insolvency figures, updated June 2026.

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Chapter 1

Overview

In June 2026, 2,230 businesses across the UK and Northern Ireland entered insolvency, 5% lower than the same month last year and a 5% decrease from May 2026.

The last quarter saw a marked drop in insolvencies, from 9,998 in Q1 to 8,390 in Q2, representing a 16.1% decline. While there has been a modest easing in insolvency levels, especially entering Q3, they remain elevated in many of the largest sectors, creating 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.

June continued to highlight the deepening pressures on the UK high street, with TGJones planning to close 150 of its stores in a bid to avoid insolvency.

June at a glance:

  • Total Insolvencies: 2,230 insolvencies across the UK and Northern Ireland.
  • Month-over-Month Change: -4.82% vs. May 2026
  • Year-on-Year Change: -5% vs. June 2025
  • Sector Impact: Construction continues to be the most affected sector, with 358 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 2,230 businesses across the UK and Northern Ireland entered insolvency in June 2026, representing a 5% decrease from both May and the same period in 2025.

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 June, with 358 firms entering insolvency, accounting for 17% 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 283 insolvencies, while Accommodation and Food Services saw 298 failures, an increase on the previous month. Combined, these two sectors represent 26% of all insolvencies for the month, underscoring their vulnerability amidst ongoing economic and geopolitical pressures.

The table below provides a year-to-date (January-June 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.