Figures released today by the Australian Financial Security Authority (AFSA) show new personal insolvencies across Australia have increased in the March quarter 2026 compared to the same time last year, as expected.
There were 3,161 new personal insolvencies in the 3-month period to March 2026. This is up from 2,977 in March 2025, a rise of 6.2%.
National data shows personal insolvencies increased in all states and territories compared to the same quarter in 2025. Just under one-third (29.2%) of personal insolvencies were business-related*.
AFSA Chief Executive Tim Beresford said recent analysis by AFSA showed financial stress is occurring across identifiable groups in society, rather than in isolated pockets, with young adults hardest hit.
“Insolvency levels remain significantly below historical peaks, but some households show heightened sensitivity to economic change.
“The largest group of people entering personal insolvency is aged 30–34, which suggests insolvency is occurring at a relatively early stage of asset accumulation.
“Many people entering personal insolvency are employed, but have limited financial buffers, which affects their capacity to absorb changes in income or expenses.
"If you or someone you know is experiencing financial difficulty, it’s important to know that seeking help early from trusted sources can make a real difference, helping people better understand their options and find a solution that works for their circumstances.”
Where to get help:
Financial counsellors and registered insolvency professionals can help to review individual situations and help plan an appropriate response.
Free confidential assistance is available through the National Debt Helpline or via phone at 1800 007 007.
- For help with budgeting, Money Smart has some easy-to-use tools available at moneysmart.gov.au
- More information about these statistics is available at Quarterly personal insolvency statistics.
Summary of national figures:
March quarter 2026:
- 1,749 were bankruptcies
- 1,356 were debt agreements
- 50 were personal insolvency agreements
- 6 were insolvent deceased estates
Of the 3,161 new insolvencies in the March quarter 2026, 924 personal insolvencies were business-related, up from 847 in the March quarter 2025.
*Business-related personal insolvencies:
- A business-related personal insolvency is a personal insolvency where a person has potentially operated a business as a sole trader, in partnership, or as a director in a company within the last 5 years.
