In July 2026, England and Wales recorded 1,931 company insolvencies. This is a 5% increase from June but a 5% decrease from July 2025. Of these, 1,497 cases were classified as Creditors' Voluntary Liquidations (CVLs), making up approximately 78% of the overall total.
On a more positive note, the insolvency rate over the past 12 months has decreased to 50.3 per 10,000 companies, down from 52.5 in the previous year. So far in 2026, the average number of monthly insolvencies has been 6% lower than the average for the same period in the last three years.
Of the 1,931 registered company insolvencies in July, there were:
Figure 1: The total number of company insolvencies in July 2026 was higher than in June 2026, driven by an increase in CVLs.
Sources: Insolvency Service (compulsory liquidations only); Companies House (all other insolvency procedures)
Creditors’ Voluntary Liquidations (CVLs) made up 78% of all company insolvencies. This figure represents a 9% increase compared to June but is 3% lower than in July 2025. This suggests that while voluntary liquidations remain high, they have slightly decreased year on year.
Compulsory liquidations rose 4% in July 2026 from June but were 11% lower than in July 2025. Overall, the average monthly number of compulsory liquidations during the first seven months of 2026 was 6% lower than the monthly average for 2025, indicating a modest year-on-year improvement.
The number of companies in the real estate sector that entered administration fell by 33% from June. This figure was also 19% lower than in July 2025, indicating a year-on-year decrease in businesses entering administration.
There were 22 CVAs in July 2026, up 57% from June 2026 and 83% from July 2025. Numbers remain low compared to historical levels.
The six industries (in accordance with SIC 2007) that experienced the highest number of insolvencies in the 12 months to July 2026 were:
Figure 2: For most sectors, the number of insolvencies in the 12 months to July 2026 was lower than that in the 12 months to July 2025.
CoCredo’s MD, Dan Hancocks, says, “The latest insolvency figures provide some encouraging signs for UK businesses. While company insolvencies rose slightly month on month in July, the 5% fall from July last year and the continued decline in the 12-month rolling insolvency rate suggest the overall picture is becoming more stable.”
“That said, businesses are still operating in an environment where financial pressures can build quickly. Creditors’ Voluntary Liquidations continue to account for the vast majority of insolvencies, highlighting that many businesses are still making difficult decisions about their future.”
“For businesses trading with customers and suppliers, this makes ongoing visibility particularly important. A company that appears financially sound today can face very different circumstances a few months from now.
By proactively monitoring creditworthiness, payment patterns, and shifts in financial conditions, businesses can identify potential issues early. This constructive approach not only supports smarter decision-making but also strengthens partnerships and improves outcomes for everyone involved.”
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