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Monthly insolvency statistics February 2024

  • 18/03/2024
  • Paul Atkinson
mature restaurant businessman working on a laptop looking at financial figures


February 2024 saw 2,102 registered company insolvencies in England and Wales - an increase of 17% compared to the amount registered in 2023. It is also higher than the January 2024 figures and when government support measures were in place in response to the pandemic.

Of the 2,102 registered company insolvencies in February 2024:

  • There were 1,707 CVLs - 12% higher than in February 2023;
  • 217 were compulsory liquidations - 35% higher than February 2023;
  • There were 166 administrations - 54% higher than February 2023;
  • 12 were CVAs – no change on February 2023.

Figure 1: The number of registered company insolvencies in February 2024 was higher than in the same month last year, driven by higher numbers of CVLs, compulsory liquidations and administrations.

line graph showing company insolvencies in February 2024

Sources: Insolvency Service (compulsory liquidations only); Companies House (all other insolvency types)

Individual Insolvencies

For individuals, the total number of insolvencies in February 2024 was 10,136, 23% higher than in the same month in the previous year (8,239 in February 2023).

The individual insolvencies consisted of:

  • 709 bankruptcies
  • 3,007 debt relief orders (DROs) 
  • 6,420 individual voluntary arrangements (IVAs). 

The higher number of individual insolvencies compared to February 2023 was driven by a 44% increase in the number of DROs and 16% increase in both the number of bankruptcies and IVAs. Numbers in February include an unusually high number of IVAs (more than 1,000) approved more than two months earlier but not registered until February 2024.

Figure 2: IVA, bankruptcy and DRO numbers in February 2024 were higher than in February 2023.

bankruptcy line graph for february 2024

Source: Insolvency Service

How our UK Business Credit Report service can help

Dan Hancocks, CoCredo, MD, says: Despite the challenges businesses encountered last year due to economic turbulence, they continue to persevere. Even though rising fuel, energy, funding costs, and cautious consumer spending still pose significant challenges to their bottom lines, businesses strive to overcome these obstacles. Despite the difficulties, SMEs remain undeterred and optimistic about their ability to turn things around.

Despite some firms expressing optimism about the future, the current economic conditions remain a significant cause for concern. Companies will likely turn to insolvency processes to resolve their financial issues if substantial improvements don't happen.

Directors and management teams must remain vigilant and take immediate action. Their proactive approach is vital in identifying any signs of financial distress in their business early on, providing ample time to make informed decisions, explore different options, and increase the likelihood of rescuing the company. By staying alert and taking prompt action, they can stay ahead of the curve and navigate their business through any challenges.

Are you taking measures to ensure the financial stability of your business and that of your suppliers? If you need help, we can assist you! Our Company Credit Reports provide comprehensive and dependable credit check information for UK and Ireland-based businesses. Using our reports, you can make well-informed decisions, protecting your business from adverse risks and gaining peace of mind. Contact us now to learn more.

Stay informed about companies' financial conditions with UK and International Monitoring services. Get frequent email alerts about their performance, payment history, court rulings, etc. Protect your business proactively and make informed decisions.

 Would you like to try our company's credit check service for free? Our credit reporting services can help you reduce your credit risk and improve your cash flow and productivity. To learn more about our services, please contact us by calling 01494 790600 or emailing us



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