Australian insolvencies across all industries surged by 78 per cent year-on-year in September 2024, according to new data from the Australian Securities and Investments Commission (ASIC).
This brought overall insolvencies for the month of September to 1,709, the second highest peak this year, one less than the 1,710 insolvencies recorded in May.
It comes after key fashion businesses called in the administrators or liquidators this year, including Harrolds just this week and Dion Lee earlier this year.
The latest rise in insolvencies across the board adds to a challenging year for Australian businesses, with overall business collapses sitting at elevated levels compared to recent years. In September 2021, insolvencies were at just 500 in the month of September.
For the retail market, insolvencies for the September quarter were down to 284 compared to the prior quarter which recorded 317. However, the September quarter is up by 63 compared to the same quarter last year.
Overall insolvencies for retail in FY24 were up by 277 from the prior financial year, hitting 963.
As of October 6 this financial year, retail insolvencies are just over 300, coming in fourth place.
ASIC data shows that construction is leading the way with insolvencies in the new financial year compared to 19 other Australian industries with a total of 1,318 insolvencies so far.
Accommodation and food services are second (960), followed by other services (484).