Insolvencies spiked in August

Bankruptcies and proposals saw a sharp rise in August, the latest figures published by the Office of the Superintendent of Bankruptcies Canada.

Bankruptcies were up 6.8 per cent and proposals increased 7.9 per cent to take the overall level of insolvencies 7.3 per cent higher. The increases were down to individual insolvencies rather than businesses.

There were more than 600 insolvencies in the month from July to August, led by Quebec and Ontario. British Columbia was the only province to show a fall in insolvencies while Nunavut remained at zero.

Although businesses overall recorded a decrease in insolvencies year-over-year and only a small rise for the month; real estate and rental and leasing; and construction experienced the biggest increase.

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