More bankruptcies last year, still historically low

The number of bankruptcies in 2022 was again historically low. A total of 2,144 companies and institutions, including one-person businesses, were declared bankrupt last year, Statistics Netherlands (CBS) reported based on provisional figures. That is the second lowest number since the start of this statistic in 1981. That is partly because companies still had access to coronavirus support measures at the beginning of 2022.

The record for the fewest bankruptcies was set in 2021. Then 1,818 companies went bankrupt. The number of bankruptcies peaked at 9,431 during the euro crisis in 2013. Compared to 2021, the number of bankruptcies was 18 percent higher last year.

According to CBS, 34 companies went bankrupt in December 2022, increasing the number of bankruptcies for the fourth month in a row. In the past four months, bankruptcies increased to the highest level after May 2020 but remained relatively low.

As in previous years, trade was the sector in 2022 with the most bankruptcies at 428. The construction industry followed with 341. That is not surprising as the two sectors are among the largest in the Netherlands.

Almost all sectors saw more bankruptcies than in 2021. In absolute terms, the increase in bankruptcies was also strongest in trade, followed by industry. There was also an increase in retail and wholesale. The car trade recorded a slight decline.

In three-quarters of the Dutch provinces, more companies were declared bankrupt in 2022 than in 2021. Zuid-Holland saw the biggest increase at 94 bankruptcies, followed by Noord-Holland and Noord-Brabant at 93 each. The three provinces also had the most bankruptcies, but they also have the most companies.