Insolvency and bankruptcy spike due to Covid-19: AFSA

Between 9 and 22 March, 887 people entered into a new personal insolvency in Australia, according to AFSA, the Australian governmental financial authority.

Where they could identify the industry, the most common industry was health care and social assistance. Over this period, 230 of these people were involved in a business.

Construction was the most common industry where people who entered into new personal insolvencies were involved in a business.

The number of people who entered into a new personal insolvency increased from 830 between 24 February and 8 March 2020 to 887 people between 9 and 22 March. The number involved in businesses also increased, from 206 to 230.

The average number of people entering into a new personal insolvency per fortnight between 1 July 2019 and 22 March 2020 is 844.