UK Insolvency Statistics – September 2025 Overview

Published: 28/10/2025 By Hannah Duncan

UK Company Insolvencies hold steady in September 2025
In September 2,000 companies entered insolvency in England and Wales broadly unchanged from 2,046 in August and 1,967 a year earlier.  This continues the pattern seen through much of 2025, with monthly figures hovering around the same elevated levels recorded since early 2023, a year that marked the highest annual insolvency total in three decades.

Breakdown by Insolvency Type
Of the 2,000 insolvencies:

• 1,578 were creditors’ voluntary liquidations (CVLs) accounting for 79% of all cases
• 281 were compulsory liquidations down 9% from August but 17% higher than in September 2024
• 124 were administrations similar to August but 17% lower than last year
• 17 were company voluntary arrangements (CVAs) unchanged from a year ago
•  There were no receivership  appointments reported in September

While CVLs remain the most common form of corporate insolvency, the steady rise in compulsory liquidations over the past year indicates that more companies are being forced into closure rather than choosing to wind up voluntarily.

12 month rolling Insolvency rate
Between 1 October 2024 and 30 September 2025, one in 189 companies on the Companies House register became insolvent which is equivalent to 52.9 per 10,000 companies. This represents a slight decline from 55.0 per 10,000 in the 12 months to September 2024, suggesting that while insolvency volumes remain high in absolute terms, the overall rate has stabilised thanks to continued growth in the number of active companies on the register. For context, the rate remains well below the 2008–09 recession peak of 113.1 per 10,000 companies, even though current monthly volumes are comparable.

Industry Trends
The six sectors experiencing the highest numbers of insolvencies in the 12 months to August 2025 were:

1. Construction – 3,934 cases (17%)
2. Wholesale and Retail Trade – 3,710 cases (16%)
3. Accommodation and Food Services – 3,365 cases (14%)
4. Administrative and Support Services – 2,396 cases (10%)
5. Professional, Scientific and Technical Activities – 1,969 cases (8%)
6. Manufacturing – 1,965 cases (8%)

Overall, most industries saw similar or slightly lower insolvency levels compared to the previous year. The most notable declines were seen in Accommodation and Food Services (-9%), reflecting some easing of post-pandemic financial pressures, while Professional and Technical Services (+1%) recorded a marginal uptick

Summary
Company insolvencies remain stubbornly high but stable, indicating persistent challenges for UK businesses amid elevated borrowing costs and subdued demand. While the overall insolvency rate has eased, ongoing financial strain is evident, particularly in consumer-facing and labour-intensive sectors.