Issue 17-100: Bankruptcies
September 7, 2017
In June 2017, there was a decrease of 8.1% in overall bankruptcies compared to June 2016. Of the 396 bankruptcies, nine were filed by businesses, a reduction of 50% compared to the 18 business bankruptcies registered in June last year. Consumer bankruptcies also fell (-6.3%) in June, compared to the same month a year earlier.
For Canada as a whole, bankruptcies dropped by 10.1% in June, compared to the same month last year, with both consumers (-9.9%) and businesses (-13.4%) registering declines.
The largest increase in the number of business bankruptcies in June was in the construction industry for the second consecutive month. Construction registered a 42.4% rise in business failures (+14 businesses) compared to the same month last year. Accommodation and food services saw the largest decrease in the number of businesses filing for bankruptcy (-43.4% or -23 businesses) compared to June 2016. Notable decreases were also observed in mining and oil and gas extraction (-71.4%), administrative and support, waste management and remediation services (-50%), and arts, entertainment and recreation (-50%).
Data Source: Innovation, Science and Economic Development Canada