Third consecutive monthly rise in hospitality insolvencies a concern
Today’s company insolvency statistics show accommodation and food services insolvencies rose again, this time by 5% (up on the 4% rise last month) from 306 in June 2025 to 327 in July 2025, equalling the highest monthly figure since November 2024. Year-on-year insolvencies were also up from 323 in July 2024.
It also represented the third consecutive monthly rise – a milestone not surpassed since prior to the current data-set’s starting point in January 2022.
Saxon Moseley, Partner and Head of Leisure and Hospitality said: “The continued uptick in insolvencies is a worrying trend, but one we have been forecasting for several months now. Key indicators now point to some tough months ahead for the leisure and hospitality sector, as higher staff costs and rising inflation continue to bare down on business already stretched, and as the more favourable summer conditions which have helped sustain consumer spending start to dissipate.
“Operators are in survival mode. As a key creator of jobs, the industry is struggling. A delicate industry presents an economic headache for the Chancellor. Taking steps to overhaul the business rates system, as well as supporting the industry to respond to recent tax increases would help alleviate pressure on operators, as well as allow them to invest in jobs for the future.”