(Montreal) Insolvency in consumers have increased slightly in the second quarter, according to the latest statistics from the Bureau of the Bankruptcy Superintendent published on Wednesday, while those of corporate fell a little.
A total of 36,392 insolvency files under the law on bankruptcy and insolvency (LFI) were filed in the second quarter of 2025. Among them, 35,114 concern individuals and 1278 companies.
For the Canadian Association of Insolvability and Reorganization Professionals (ACPIR), this increase for consumers by 2.6 % compared to the previous quarter – but from 0.1 % in annual shift – reflects financial tensions in the country.
The association underlines in a press release that a Canadian has filed an insolvency file for about four minutes.
According to the ACPIR, the quarterly volume of insolvency of consumers remains 4.9 % higher than the values before the pandemic for the second quarter, which confirms the high level of financial distress that households continue to experience.
The Chairman of the Board of Directors of the ACPIR, the union authorized in insolvency André Bolduc argues that the increase in the cost of basic necessities, the more and higher mortgage payments and the increase in current household expenditure represents a burden for consumers.
In Quebec, the number of insolvency files submitted by consumers fell 2.6 % in the second quarter, compared to the same period last year, to total 8,372.
Ontario has recorded the greatest number of cases, or 13,292, a figure that remains stable compared to the second quarter of 2024. Newfoundland and Labrador, British Columbia and Manitoba have recorded significant annual sliding increases, 20.2 %, 7.0 %and 5.3 %respectively.
On the business side, the number of insolvency files fell 17.1 % in the second quarter compared to last year.
The ACPIR nevertheless stresses that the volumes of deposits remain 33.4 % greater than the second quarter before the pandemic, which constitutes a reflection of the persistent difficulties in the business world.
The most affected industries, in number of files submitted, are the construction, accommodation and catering services as well as retail. However, the insolvency files submitted in the agriculture, forestry, fishing and hunting sector climbed 29.2 % in annual shift.
ACPIR recalls that insolvency in these sectors can have significant consequences on small communities.
