Personal insolvencies rose in Australia, with a total of 2,494 new insolvencies recorded in the March quarter 2023 – up 12.6% from the March quarter 2022.
New official figures from the Australian Financial Security Authority (AFSA) revealed that insolvency numbers rose in every state and territory compared to the same period last year – except Western Australia and the Australian Capital Territory, which recorded a decrease of 0.5%, and 11.5% respectively.
Of the new insolvencies in the March quarter 2023, 60.3% were bankruptcies and 38.3% were debt agreements. The remainder were personal insolvency agreements and deceased estates.
In addition to increased year-on-year insolvencies, AFSA statistics are also showing a gradual rise in insolvencies in recent months – with a 7.5% increase in new insolvencies compared to the December quarter 2022.
In the March quarter 2023, 34.4% of bankruptcies were business-related, rising from 29.9% in the March quarter 2022.
Financial counsellors and registered insolvency professionals can help individuals review their situation, understand their options and plan an appropriate response. For some people, insolvency may present the best opportunity for a fresh start financially.
More information about Australia’s personal insolvency statistics is available on the AFSA website.
Further information about seeking help to deal with unmanageable debt is available at afsa.gov.au.
