New personal insolvencies across Australia continued to increase in the December quarter 2025 compared to the December quarter 2024, according to new statistics released today by the Australian Financial Security Authority (AFSA).
There were 3,184 new personal insolvencies in the 3-month period to December 2025, up from 2,794 in December 2024, which is 14.0% higher than in the same period last year.
National data shows personal insolvencies increased in all states and territories compared to the December quarter 2024, except for Northern Territory where the number declined.
Of the December quarter 2025 personal insolvencies, over a quarter (31.2%) were business-related. A business-related personal insolvency is a personal insolvency where a person has operated a business as a sole trader, in partnership, or as a director in a company.
AFSA Chief Executive Tim Beresford said the data highlights the importance of accessing financial counselling services and seeking professional advice early.
'The upward trend in these numbers shows Australian households and small businesses continue to experience moderate financial stress. Behind these numbers are Australians facing difficult financial pressures.
'The earlier people reach out for support, the more options they have. Help is available, and no one needs to navigate financial hardship alone.'
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, Moneysmart has some easy-to-use tools.
- More information about these statistics is available at Quarterly personal insolvency statistics.
Summary of national figures
December quarter 2025:
- 1,821 were bankruptcies
- 1,296 were debt agreements
- 60 were personal insolvency agreements
- 7 were insolvent deceased estates.
Of the 3,184 new insolvencies in the December quarter 2025, 993 personal insolvencies were business-related, up from 837 in the December quarter 2024.
