Data

UK company insolvency statistics

Reviewed by the Apex broking team · Last reviewed 2026-10-30

There were 1,882 registered company insolvencies in England and Wales in September 2026, 5% fewer than a year earlier, according to the Insolvency Service. That is about one in 200 companies over the past 12 months.

Part of: Commercial insurance

Latest UK company insolvency figures

These are the latest official company insolvency figures for the UK, taken from the Insolvency Service's Company Insolvency Statistics September 2026, published on 20 October 2026, and its December 2025 release, which gave the calendar year totals for 2025. England and Wales monthly figures for compulsory liquidations, CVLs and administrations are seasonally adjusted. Scotland and Northern Ireland figures are not. The next monthly release is due on 17 November 2026.

The insolvency rate has risen since the lows of 2020 and 2021, but the Insolvency Service notes it remains much lower than the peak of 113.1 per 10,000 companies during the 2008 to 2009 recession. In the first nine months of 2026, monthly totals in England and Wales were lower than the average of the preceding three years.

Figures checked 30 October 2026.

Company insolvencies by type

Most company insolvencies in England and Wales are creditors' voluntary liquidations (CVLs), where the directors and shareholders decide to wind up an insolvent company. Compulsory liquidations follow a court winding-up order, usually on a creditor's petition. The table shows the Insolvency Service figures by procedure.

Calendar 2025 figures are as first published in the December 2025 release; later releases can revise them. Points from the commentary:

• Compulsory liquidations in September 2026 were 6% higher than August and 25% higher than September 2025. In 2025 they rose 15% to their highest level since 2012, which the Insolvency Service links partly to recovery from record lows in 2020 and 2021, after restrictions on statutory demands and certain winding-up petitions.
• CVLs were 9% lower than September 2025, and in the first nine months of 2026 averaged 7% below the 2025 monthly average.
• Administrations have been volatile, driven by over 250 connected companies in the real estate sector entering administration between March and August 2026.
• Receiverships are now rare: there were three in the 12 months to September 2026.

Company insolvencies by industry

The Insolvency Service publishes industry figures for the latest 12 months, excluding dormant and non-trading companies and cases where the industry is unknown. Percentages are shares of cases where the industry was captured.

All the larger industries saw falls in the year to September 2026, from a 10% decrease in wholesale and retail to a 2% decrease in construction. Construction still has the most insolvencies, which matters for subcontractors paid in arrears; see trade credit for construction subcontractors.

Scotland and Northern Ireland

Scotland and Northern Ireland have separate insolvency law. The Insolvency Service publishes their figures alongside England and Wales, unadjusted for seasonality. For Scotland, Accountant in Bankruptcy keeps the Register of Insolvencies and publishes its own statistics; for Northern Ireland, compulsory liquidation data comes from the Department for the Economy.

• Scotland, September 2026: 117 company insolvencies (68 CVLs, 38 compulsory liquidations, 10 administrations, one CVA). The rate in the 12 months to September 2026 was 49.0 per 10,000 companies, down 3.1.
• Northern Ireland, September 2026: 45 company insolvencies (30 compulsory liquidations, 13 CVLs, one CVA, one administration). The 12 month rate was 42.6 per 10,000, up 5.3.

Monthly numbers in Scotland and Northern Ireland are small, so percentage changes can swing sharply from one month to the next.

Late payment context

Late payment is not the same as insolvency, but it squeezes cash flow in the same supply chains. According to the Small Business Commissioner, large businesses paid 15% of invoices late in 2025, down from 25% in 2018. The figures come from reports large businesses must file twice a year under the Reporting on Payment Practices and Performance Regulations 2017. The Commissioner also points to the Commercial Payments (Late Payments) Bill, which it describes as proposing the most significant reforms to payment practices in over 25 years. Its final terms and start date were not stated on that page when we checked.

What this means for trade credit insurance

The headline rate of about one in 200 companies a year sounds small, but a supplier's exposure depends on who its customers are, not the national average. A few practical points, which are our reading rather than anything stated in the statistics:

• Concentration matters more than the rate. One large customer failing can outweigh dozens of small ones. Whole turnover or single buyer cover are two ways of approaching it.
• Sector matters. Construction, retail and hospitality have the highest counts, so firms selling on credit into those sectors usually face closer questions from underwriters about terms, limits and overdue debts.
• Creditors in a liquidation usually rank behind others. If a customer goes bust, unsecured trade creditors often recover little; see what happens if a customer goes bust.
• Cover is decided before the loss. Trade credit insurance generally covers debts owed by approved buyers within credit limits, subject to the policy terms, and insurers can usually reduce or withdraw a limit on a buyer whose position worsens. It is not usually available for a customer already in difficulty.

Exporters face the same issues abroad; see export credit insurance. Directors of a struggling company have their own exposure, covered in D&O insurance and insolvency. Contractors asked for performance security can read our guide to surety bonds.

How Apex helps: we arrange trade credit, D&O and wider commercial insurance for UK businesses, and can review your debtor book and customer concentration before approaching insurers. See also our table of compulsory business insurance by business type.

Sources

• Insolvency Service: Commentary, Company Insolvency Statistics September 2026 (GOV.UK)
• Insolvency Service: Company insolvencies, September 2026 (GOV.UK)
• Insolvency Service: Commentary, Company Insolvency Statistics December 2025 (GOV.UK)
• Small Business Commissioner: Payment times are improving as new legislation dawns

Frequently asked

Apex Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales, company number 07014570. This page is general information, not advice on your individual circumstances, and it does not guarantee that cover will be available or on what terms.