Published: 23/07/2025 By Hannah Duncan
The Insolvency Service has published the insolvency statistics for June 2025 which sees an 8% decrease from last month and a drop compared to June 2024.Key Figures
• Total registered company insolvencies in England and Wales was 2,043
• This marks an 8% decrease from May 2025 (2,230 cases)
• A 16% drop compared to June 2024 (2,430 cases)
Breakdown by Insolvency Type
• Creditors’ Voluntary Liquidations (CVLs): 1,585
• Compulsory Liquidations: 332
• Administrations: 111
• Company Voluntary Arrangements (CVAs): 15
• Receiverships: 0
Trends and Context
• The first half of 2025 saw slightly higher insolvency numbers compared to the latter half of 2024, but still below the 30‑year high in 2023
• The 12-month rolling insolvency rate (July 2024 to June 2025) was 52.4 per 10,000 companies (1 in 191), down from 55.8 per 10,000 in the previous 12-month period
Industry Trends 12-month totals to June 2025
1. Construction
• Continues to be one of the most affected sectors.
• High insolvency rates are driven by:
• Rising material and labour costs
• Delays in project financing
• Insolvent subcontractors disrupting supply chains
2. Retail and Wholesale
Still under pressure due to:
• Reduced consumer spending
• High energy and operational costs
• Shift to online shopping impacting high street stores
• Many smaller retailers are entering Creditors’ Voluntary Liquidations (CVLs).3. Hospitality (Accommodation & Food Services)
• Facing persistent challenges:
• Staff shortages
• Increased wage bills due to minimum wage hikes
• Lower footfall in city centres and tourist areas
• Insolvencies remain above pre-pandemic levels.4. Professional, Scientific & Technical Activities
• A growing number of insolvencies, particularly among:
• Small consultancies
• Freelance and contract-based firms
• Often affected by delayed payments and reduced client budgets.5. Manufacturing
• Experiencing a moderate rise in insolvencies.
• Contributing factors include:
• Supply chain disruptions
• Export challenges post-Brexit
• Energy price volatility
These trends reflect broader economic pressures, including high interest rates, inflation, and tightened credit conditions.