More companies went into insolvency last year than in the 2008 financial crisis, according to new figures from the Insolvency Service.
A total of 25,551 business insolvencies were recorded last year, more than the 25,186 that collapsed in the year from August 2008 to July 2009.
The number of company insolvencies in England and Wales also rose by 16% year-on-year, according to official figures.
The 2,191 company insolvencies in July 2024 suggest many businesses are still recovering from the impact of high inflation and borrowing costs.
Company insolvencies in July 2024 consisted of 320 compulsory liquidations, the highest monthly number since before the COVID-19 pandemic, 1,691 creditors’ voluntary liquidations (CVLs), 155 administrations and 25 company voluntary arrangements (CVAs). All types of company insolvency were higher than in July 2023.
The construction industry remains the sector with the highest number of company insolvencies according to the Insolvency Service’s figures.