Property Week, Construction News and Construction Wave quote David Savage on the latest round of insolvency statistics in the sector

The construction sector continued to account for one in six company insolvencies in England and Wales over the last 12 months despite a month-on-month fall in August.

According to the latest rolling annual Insolvency Service (IS) data, 23,141 insolvencies were recorded in the 12 months to August 2025, including 3,934 in construction. The sector’s share of the total – 17 per cent – was the same as the figure the IS reported last month. However, the latest figures showed 290 construction insolvencies in August, down by 13 per cent on the total for the month last year (332).

Second in the list behind construction was wholesale and retail, which accounted for 16 per cent of insolvencies (3,710) in the year to August, followed by accommodation and food services with 14 per cent (3,365).

David Savage, Partner in our Construction, Engineering & Projects team, comments on the latest round of statistics for a range of publications including Construction News, Property Week and Construction Wave. He explains:

The construction sector continues to play a critical role in driving regional growth and supporting thousands of jobs, yet many businesses are facing mounting pressures from rising costs and ongoing uncertainty, including suffering some of the highest industrial energy prices of anywhere in the world.

"We need a system that recognises the specific challenges the industry faces and supports firms to invest and grow with confidence. At next month’s Budget, the Government has a real opportunity to back the construction sector by delivering meaningful business rates reform and targeted support that encourages innovation, sustainability, and skills development across the sector.

Read the full articles in Construction News, Construction Wave and Property Week