
Corporate insolvencies reached a peak in 2025

Frankfurt am Main [ENA] In the second quarter of that year, Germany recorded a significant increase in insolvencies, reaching the highest level for over a decade. This development has raised concerns about the stability of the German economy and has had an impact on both the economic and political landscape.
Rise in corporate insolvencies: According to the latest data from the Federal Statistical Office, the number of corporate insolvencies increased by over 30% in the second quarter of 2025 compared to the same period last year. A total of around 40,000 corporate insolvencies were registered. The main reasons for this increase have been the rising energy prices, ongoing supply chain issues, and general economic uncertainty. Small and medium-sized enterprises (SMEs) in particular are struggling under the weight of mounting costs and waning demand.
Increase in consumer insolvencies: Additionally, the absolute number and the percentage of consumer insolvencies increased significantly during the same period. During the second quarter of 2025, there was a rise of around 12%, resulting in approximately 20,000 consumer insolvencies. This development illustrates the growing financial strain on many households, particularly lower-income groups, who are facing high living costs and stagnating wages. There are many reasons for the rise in insolvencies. Economic uncertainty caused by geopolitical tensions contributes to an unstable market. Structural problems in certain sectors, particularly retail and hospitality, also play a decisive role.
These sectors are facing increasingly high challenges due to changing consumer preferences and economic conditions. The outlook for the coming months is worrying. Experts warn that high insolvency rates could continue to rise without targeted economic policies. Governments and economic organizations are urged to develop strategies to support affected companies, for example by providing financial assistance or reducing bureaucratic hurdles.
Increased investment and innovation could also contribute to stabilizing the economy. In summary, the second quarter of 2025 has been a critical phase for insolvency statistics in Germany. Sustainable action is necessary to address the challenges faced by businesses and consumers, and to secure economic stability and social balance.