Bankruptcy activity eased in April

Insolvency activity dropped in April, according to new data from the Office of the Superintendent of Bankruptcy Canada (OSB).

The volume of both bankruptcies and consumer proposals fell in April, driving a a 13.7% decline in the total number of insolvencies, as bankruptcy activity decreased by 9.9% and proposals dropped by 15.1%.

For the 12‑month period ended April 30, the total number of insolvencies was up by 1.3%, compared with the same period in 2021, the OSB reported.

Consumer insolvencies rose by 1.1% for the year to April, as the number of consumer proposals was up 7.8%, but bankruptcies dropped by 12.3%.

Over the same period, business insolvencies increased by 7.9%, the OSB said.

“Transportation and warehousing, and construction experienced the biggest increase in insolvencies,” it said, while insolvencies in the real estate, rental and leasing, and retail trade sectors declined year over year.

Staff

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