Economy

Exclusive: ‘Perfect storm’ prompts dramatic rise in insolvencies

Insolvency rate is the highest in five years while the construction, nursing home, hospitality and services sectors are the worst affected

Insolvency experts are warning that the ending of Revenue’s debt warehousing scheme in May next year is likely to trigger a fresh spike in business failures. Picture: Getty

A perfect storm of rising interest rates, soaring energy and labour costs, and the axing of emergency state supports has led to a tsunami of business failures in 2023, the Business Post can reveal.

A wave of companies in the construction, nursing home, hospitality and services sector have hit the wall at a rate even higher than pre-Covid insolvency levels, new figures demonstrate.

Figures compiled by Deloitte show a total of 478 Irish businesses have ...