Issue 20-125: Bankruptcies
July 2, 2020
Consumers filed 176 bankruptcies in British Columbia in May, a decrease of 53.1% compared to May 2019. There were more business bankruptcies, amounting to ten businesses in the province, compared to seven in the same month last year (+42.9%). Of the ten business bankruptcies, two were filed by individual businesses and eight by a corporation.
Bankruptcies were found in both the goods-producing (four businesses) and services-producing (six businesses) sectors. Manufacturing and retail trade had the largest number of business bankruptcies, with two businesses each.
Nationally, the total amount of bankruptcies filed was down 59.3%, as both consumer (-60.4%) and business (-35.6%) numbers declined.
The largest decreases in the net number of businesses filing for bankruptcy compared to May 2019 were observed in construction (-84.3% or 43 businesses) and administrative and support, waste management and remediation services (-73.3% or 11 businesses). The arts, entertainment and recreation industry saw the largest increase in the number of business bankruptcies between May 2019 and May 2020, more than doubling from five businesses to 12.
Note: Monthly statistics and growth rates for bankruptcy volumes tend to vary widely and as such, should be viewed with caution. Quarterly and annual statistics can be more indicative of overall trends. For more information on quarterly and annual statistics visit BC Stats.
Data Source: Office of the Superintendent of Bankruptcy Canada