Throughout the coronavirus crisis, CBS is providing weekly updates on the number of bankruptcies pronounced by Dutch courts. The weekly updates are normally released on Thursdays at 12.00 p.m.
Not including sole proprietorships, there were 98 bankruptcies in week 17. This is 38 up on the previous week. In addition, 14 sole proprietorships were declared bankrupt, 9 more than in the same period in 2019.
Most bankruptcies recorded in retail trade
The number of bankruptcies was up in most sectors; the hardest hit was retail trade with 13 bankruptcies. The sector recorded a higher weekly total (19) earlier this year in week 7. In the first seventeen weeks of 2020, on average 8 retail bankruptcies were pronounced each week. The week’s increase is more noticeable in the manufacturing sector with 12 companies declared bankrupt, significantly more than the weekly average of 5 so far this year. Finally, the highest number of sole proprietor bankruptcies (5) was seen in the construction sector. In the preceding weeks as well, construction was the sector with the highest number of sole proprietor bankruptcies.
Several weeks may elapse between the date of filing for bankruptcy and the court decision. As of week 14, Dutch courts are granting a longer application period of at least four weeks in cases of a bankruptcy petition being made (i.e. by claimants), unless the procedures are deemed urgent. In addition, the Dutch government has established an emergency package for the economy and the job market in order to provide the proper support to Dutch businesses.