Monthly UK insolvency statistics - September 2021

In response to the coronavirus (COVID-19) pandemic, the individual and company September 2021 insolvency statistics for England and Wales have been published by the Insolvency Service, together with related insolvency figures for Scotland and Northern Ireland.

Insolvency statistics for England and Wales following coronavirus lockdown

The Insolvency Service is releasing monthly company and individual insolvency statistics for England and Wales and Northern Ireland, as well as monthly company statistics for Scotland, throughout the remainder of the coronavirus (COVID-19) pandemic, and for a period thereafter.

However, these statistics are marked ‘experimental’ since the process of compiling insolvency data in monthly format is new to the statistics team at the Insolvency Service and is subject to review. The Insolvency Service also notes that as they do not record whether an insolvency is directly related to the coronavirus pandemic, as it is not possible to state its direct effect on insolvency volumes.

According to The Insolvency Service, the overall number of company insolvencies since the start of lockdown last year is likely to be impacted by the range of government measures put in place to financially support companies in response to the coronavirus pandemic, including the Corporate Insolvency and Governance Act.

Company insolvency statistics for England and Wales – September 2021

In September 2021 the number of registered company insolvencies were at their highest level since the start of the first UK lockdown in March 2020 and were similar to pre-pandemic levels. There was a total of 1,446 company insolvencies in England and Wales, which included:

1,328 creditors’ voluntary liquidations (CVLs)
25 compulsory liquidations
81 administrations
12 company voluntary arrangements (CVAs)
0 receiverships

Overall company insolvencies in September 2021 were 4 per cent lower when compared to September 2019 (pre-pandemic) but 56 per cent higher when compared to September 2020. When compared with the number of company insolvencies registered in September 2020 and September 2019:

CVLs were 80& higher when compared to September 2020 and 21% higher than in September 2019
compulsory liquidations were 49% lower than September 2020 and 89% lower than September 2019
CVAs were 61% lower than September 2020 and 45% lower than September 2019
administrations were 26% lower than September 2020 and 49% lower than September 2019

Between 26 June 2020 and 30 September 2021, 14 companies obtained a moratorium and nine companies had a restructuring plan registered at Companies House – two new procedures created by the Corporate Insolvency and Governance Act 2020.

Individual insolvency statistics for England and Wales – September 2021

As individual voluntary arrangement (IVA) numbers have been calculated using different methodology, they are presented separately to debt relief orders (DROs) and bankruptcies.

In September 2021, there were:

6,853 IVAs registered (using a three-month rolling average)
2,150 DROs
614 bankruptcies (553 debtor applications and 61 creditor petitions)

Debt relief orders and bankruptcies

The number of DROs in September 2021 was the highest seen since the start of the pandemic, 41 per cent higher than in September 2020 but 12 per cent lower than in September 2019. Changes to DRO eligibility came into effect on 29 June 2021, including an increase in the level of debt at which people can apply for a DRO from £20,000 to £30,000.

Bankruptcies in September 2021 were the lowest since the monthly statistics series began January 2019. They were 42 per cent lower than in September 2020 and this was driven by a drop in debtor applications (43 per cent lower) and creditor petitions (34 per cent lower). Compared to September 2019, total bankruptcies were 55 per cent lower.

Individual voluntary arrangements

Due to volatile data, the Insolvency Service provided three-month rolling averages for IVAs, which indicate what the overall trend of IVA registrations might look like.

IVAs in September 2021 were 48 per cent higher when compared to the average number of registered IVAs during the three months ending September 2020 but 9 per cent lower than the three months ending September 2019.

Breathing Space registrations

Between 4 May (when the scheme was launched) and 39 September 2021 there were 27,246 breathing space registrations. These composed of:

26,896 standard breathing space registrations
350 mental health breathing space registrations (for those receiving mental health crisis treatment)

In September 2021 there were 5,098 breathing space registrations. This was made up of 5,014 (98.4%) standard breathing space registrations and 84 (1.6%) mental health breathing space registrations.

Company insolvency statistics for Scotland – September 2021

The Accountant in Bankruptcy, Scotland’s Insolvency Service, administers company insolvency in Scotland. They reported that in September 2021 there were 70 company insolvencies in total, 63 per cent higher than September 2020 but 8 per cent lower than September 2019.

Total corporate insolvencies in Scotland in September 2021 consisted of:

8 compulsory liquidations
52 CVLs
10 administrations
0 CVAs
0 receivership appointments

Company and individual insolvency statistics for Northern Ireland – September 2021

In Northern Ireland in September 2021 there were:

11 company insolvencies
123 individual insolvencies

Company insolvencies were 10 per cent higher when compared to September 2020 but 69 per cent lower than September 2019 and consisted of:

9 CVLs
1 CVA
1 administration
0 compulsory liquidations
0 administrative receiverships

Individual insolvencies were 14 per cent lower than in September 2020 and 61 per cent lower than September 2019. They consisted of:

92 IVAs
21 DROs
10 bankruptcies

Where can I see insolvency notices in The Gazette?

The Gazette is the primary source of both corporate insolvency and personal insolvency information in the UK and publishes this information in the form of insolvency notices, allowing transparency for the public, the credit industry and concerned individuals to quantify risk and inform creditors. You can view all corporate and personal insolvency notices on The Gazette website.

The Gazette also provides a data service which gives access to official intelligence on all UK businesses, corporate and personal insolvencies. Benefits of The Gazette’s data service include:

Bespoke reports - tailored around your specific business
Geo-targeted editions - available for specific geographical targeting (National, London, Belfast, Edinburgh)
Custom filters - specific custom attributes (company number, notice type, key terms)
Data at regular intervals - delivered at a rate to match your business needs (daily, weekly, monthly)

For more information on The Gazette’s data service, contact the team on 01603 985949 or email data@thegazette.co.uk.

Next insolvency statistics release

Individual and company insolvency statistics for October 2021 will be released on 16 November 2021.

Company insolvency statistics – Q2 2021

UK individual insolvency statistics – Q2 2021

About The Gazette’s data service

What you need to know about Corporate Insolvency and Governance Bill

Find out more

Monthly Insolvency Statistics September 2021 (GOV.UK)

The Insolvency Service (GOV.UK)

Accountant in Bankruptcy (AiB)

Corporate Insolvency and Governance Act 2020 (Legislation)