No let-up in insolvencies in Germany

The number of insolvencies in Germany is still high compared to last year, with 5.7% more in November this year than a year ago, according to official figures released on Friday.

In October, the annual increase was 6.5%, according to the Federal Statistical Office.

There is a time lag on the statistics as they record the date of the first decision by an insolvency court, rather than the date of the insolvency application, which is generally about three months earlier.

Credit agency Creditreform expects around 23,900 company bankruptcies for the year as a whole, the highest number since 2014. The agency cites several factors: the high level of debt of many companies; the difficulty of accessing credit; and structural burdens such as energy prices and regulation as the reasons for this.

Small and medium-sized enterprises are under particular pressure.

Creditreform forecast that the situation is unlikely to improve in the coming year.

On Tuesday, the Leibniz Institute for Economic Research in Halle (IWH) reported a reduction in the number of company bankruptcies. According to the report, the figures for November were expected to be just below the previous year's level for the first time in three and a half years.

However, the IWH figures refer to partnerships and corporations, generally representing more than 90% of the jobs affected by corporate insolvency and 95% of claims. The insolvencies reported by the Federal Statistical Office include additional cases.

In the first three quarters of 2025, the statistics office registered 18,125 corporate insolvencies, 11.7% up on the same period last year.

Creditors' claims amounted to around €40.1 billion ($47 billion) – a slight decline compared with the same period last year, when €45.6 billion was at stake.

Looking at the first nine months of the year, most of the insolvencies were in transport and warehousing, followed by catering and construction.