Overview
- The Leibniz Institute for Economic Research Halle (IWH) recorded 1,666 corporate insolvencies in September 2026, a rise of 9% from August and 13% from September 2025.
- The service sector hit its highest insolvency level since IWH began systematic tracking in 2020, while transport, hospitality, construction and parts of manufacturing also show above-normal stress.
- Across the third quarter there were 4,880 insolvencies, a 2.3% quarter-on-quarter fall, and the number of jobs affected fell about 10% to roughly 41,000 as fewer very large cases occurred.
- A Creditreform analysis finds about one third of small and medium firms have equity ratios below 10% and planned investments are at a 20-year low, leaving many businesses fragile to shocks.
- Official data show business insolvencies have risen year-to-date and insolvency-related wage payments and creditor losses are material, with payments around €1.6bn in 2024 and projected up to €1.8bn in 2026, while IWH expects a likely fall in Q4 but warns risks remain.