More bankruptcies again

04/02/2005 09:30

According to the latest figures by Statistics Netherlands over 9 300 bankruptcies were pronounced in 2004. This is 7 percent more than in 2003. The increase occurred mainly among natural persons (private individuals with or without single-owner company). The number of bankruptcies among enterprises and institutions increased moderately. In 2004 the number of bankruptcies reached its highest level yet.

Substantial increase in bankruptcies among natural persons

The number of bankruptcies of single-owner company pronounced in 2004 was up by 20 percent on 2003. The increase in the number of bankruptcies among private individuals without single-owner company was 14 percent.

The number of bankruptcies of limited companies (BV) on the other hand was down by 2 percent on 2003. The limited companies, with almost 4 600 bankruptcies, made up about half of the total number of bankruptcies pronounced. 

Relatively greatest increase in agriculture hotels and restaurants

Agriculture and fisheries saw the largest increase in the number of bankruptcies in 2004, namely by more than half. However, these branches of industry are small in number. Compared to 2003 a quarter more bankruptcies was pronounced in hotels and restaurants and in education, health care, environment and other services. On the other hand, in the manufacturing industry and in transport, storage and communication there was an 8 percent decrease.

In 2004 an average of almost 10 in a thousand enterprises and institutions went bankrupt. In the manufacturing industry this was 16 in a thousand, whereas in agriculture and fisheries 2 in a thousand enterprises went bankrupt. About 37 percent of all enterprises and institutions had existed less than five years at the moment they were pronounced bankrupt. In 2003 this was 40 percent.

Bankruptcies mainly increasing in the provinces Utrecht and North Brabant

At the regional level the increase in the number of bankruptcies in Utrecht and North Brabant was about a startling 24 percent higher dan in 2003. In Groningen, on the other hand, the number of bankruptcies fell by 12 percent.

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