The UK recorded 2,048 registered company insolvencies in August 2025, 2% lower than July 2025 but a slight rise of 6% from August 2024. They reveal the ongoing pressures facing UK businesses amid challenging economic conditions.
Of the 2,048 registered company insolvencies in August, there were:
Figure 1: The total number of company insolvencies in August 2025
In August 2025, Company Voluntary Liquidations (CVLs) represented 78% of all corporate insolvencies. The number of CVLs increased by 1% from July 2025 and was 5% higher compared to August 2024.
The number of compulsory liquidations in August 2025 was 9% lower than in July 2025, 11% higher than in August 2024, and 15% higher than the monthly average for 2024.
In August 2025, the number of administrations was 17% lower than in July 2025, but it was 6% higher than in August 2024. However, the average monthly number of administrations in 2025 so far is slightly lower than the average for 2024.
The number of CVAs in August 2025 was 33% higher than in July 2025 and 20% lower than in August 2024.
The six industries that experienced the highest number of insolvencies in the 12 months to July 2025 were:
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CoCredo’s Managing Director, Dan Hancocks, says, “As we move into the final quarter of 2025, businesses will need to monitor these trends closely. The slight decrease in insolvency rates is encouraging; however, the overall numbers remain high compared to historical averages. Continued economic uncertainties, coupled with potential challenges such as rising interest rates and global supply chain issues, could impact the financial stability of companies across various sectors.”
“Although the data for August 2025 indicates a slight improvement in insolvency rates, the overall business landscape remains challenging. embrace strategic planning, exercise financial wisdom, and take swift action to steer through the economic challenges ahead.”
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