OTTAWA — Business insolvencies more than doubled in January compared with a year earlier as they also surpassed pre-pandemic levels for the month.
The Office of the Superintendent of Bankruptcy says there were 759 business insolvencies in January, up 42.4 per cent from December and up 129.3 per cent from January 2023.Business insolvencies include bankruptcies and proposals . The biggest increases this January were in accommodation and food services, retail trade, and construction.Consumer insolvencies increased in January, but not nearly as sharply. They grew by 23.5 per cent year-over-year and remained lower than in January 2020.
Business and consumer insolvencies have been on the rise for a while, coming up from pandemic-driven lows.The Canadian Association of Insolvency and Restructuring Professionals said in a February press release that companies are struggling with pandemic debt and higher interest rates. Slower consumer spending is also weighing on businesses, the association said, as Canadians continue to grapple with higher prices and interest rates.BuildForce Canada report outlines four principles for immigration to tackle labour shortageCIB commits $138.
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