The April to June 2019 (Q2) company insolvency stats in England and Wales have been published by The Insolvency Service, together with related figures for Scotland and Northern Ireland.

Company insolvency statistics for England and Wales – Q2 2019

• Total underlying company insolvencies increased in Q2 2019 compared with Q1 2019.
• This was driven by an increase in creditors voluntary liquidations.
• Compulsory liquidations, administrations and company voluntary arrangements decreased.
• The number of administrations decreased this quarter but remain elevated.

The seasonally adjusted figures show that there were 4,321 total underlying company insolvencies in Q2 2019 - a 2.6% increase from Q1 2019. When compared to the same quarter last year, this was an increase of 11.9%, and the highest underlying level of insolvencies in any quarter since Q1 2014.

Administration and liquidation statistics for England and Wales – Q2 2019

• There were 400 administrations in total.
• This is the second highest quarterly level since Q1 2014, but 11.4% lower than Q1 2019.
• The liquidation rate remains low, with 1 in 237 companies liquidated in the 12 months ending Q2 2019.
• This was slightly up from 1 in 238 companies in Q1 2019.

Unlike the absolute number of liquidations over a period, the liquidation rate indicates the probability of a company entering liquidation in the previous four quarters. In general, periods of economic growth result in liquidation rates decreasing.

Industry sector insolvency findings for England and Wales – Q2 2019

• Underlying insolvencies increased in the 12 months ending Q2 2019.
• ​There were 97 extra underlying company insolvencies compared with the 12 months ending Q1 2019, a 0.6% increase.

The main drivers of the insolvencies increase were the accommodation and food service industry with 74 extra cases compared to the 12 months ending Q1 2019 (a 3.4% increase), the construction industry (37 additional insolvencies and an increase of 1.2%), and the other service activities grouping (32 additional insolvencies and an increase of 4.7%).

This was offset by decreases in the administrative and support services industrial grouping with 53 fewer cases (a decrease of 2.8%); and the transportation and support services grouping (21 fewer cases and a 3.9% decrease).

Scotland company insolvency statistics – Q2 2019

• Company insolvencies decreased in Scotland.
• There were 247 company insolvencies.
• This was a decrease of 7.1% compared to the same quarter of the previous year.

Due to administrative differences, most company liquidations in Scotland are compulsory liquidations, in contrast to England and Wales, where creditors’ voluntary liquidations (CVLs) account for most company liquidations. Figures in Scotland are also not seasonally adjusted.

Northern Ireland company insolvency statistics – Q2 2019

• Total insolvencies increased in Northern Ireland.
• There were 88 company insolvencies.
• This was a decrease of 29.6% compared with the same quarter of the previous year.

Please note, the figures for Northern Ireland are not seasonally-adjusted.

Next release

Figures for Q3 will be released on 30 October 2019 at 9.30am.

See also

Insolvency Service reviews current regulatory landscape

Company insolvency statistics, Q1 Jan-March 2019

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The Insolvency Service

Company Insolvency Statistics: April to June 2019

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