632 insolvencies recorded so far this year as retail and IT sectors feel strain

James Anderson of Deloitte says the continuing high level of insolvency points to ongoing challenges businesses face in Ireland. 

There were 632 insolvencies in the first nine months of 2026, data published by Deloitte Ireland on Wednesday shows, with the retail sector experiencing the biggest jump in the year to date. 

Deloitte said the 632 total insolvencies compared with 618 in the equivalent period in 2025 and 650 in 2024. There were 103 retail insolvencies between January and September, compared with 69 for the same period in 2025. High profile retail insolvencies this year included Harvey Nichols and the Born Clothing group.

The IT sector has also seen a surge in insolvency activity from 10 in the first nine months of 2025 to 39 in the first nine months this year - a 290% increase.

The services sector had the highest number of insolvencies (219 so far this year). Services include real estate, fitness and beauty, and financial services. 

The average age for a business going insolvent was 14 years. Hospitality had the lowest average age of a business going insolvent at 10.8 years and IT at 10.9 years. Wholesale had the highest average age at 19 years.

Deloitte is forecasting around 850 insolvencies in total for 2026.

“While insolvency levels overall are in line with the past few years, it is still at a high level. This points to ongoing challenges businesses face in Ireland," said James Anderson, Deloitte Ireland turnaround & restructuring partner. 

"As the energy market is likely to face ongoing instability due to global conflicts, energy costs for businesses will likely persist and even rise in the next year. This comes as auto-pension enrolment comes into effect and discussions about raising the minimum wage continue. It is interesting we are not seeing these increased costs forcing more businesses into closures.

"It is not yet clear what there will be in Budget 2027 that will help businesses in Ireland survive another challenging period, despite a clear focus on growing Domestic Direct Investment (DDI) alongside FDI."

The hospitality sector saw 80 insolvencies in the year to date, down from 103 a year earlier. The figures were the first seen since the July 1 cut in the VAT rate for the hospitality sector came into effect. "Despite there been a decrease in this quarter’s hospitality insolvencies, this continues a trend that began before the rate cut. The following quarterly insolvency figures will be critical to assess how effective this cut was," said Mr Anderson.

Leinster continues to account for the highest number of insolvencies (476 of the 632 nationally). In 2026 to date, Munster experienced 96, while Connacht had 48, and Ulster 12.

Receiverships decreased by 33% compared to the first nine months of 2025 (68 compared to 102). Alternative lenders accounted for the majority of receivership activity.

Court liquidations continue to increase, growing by 26%, with 107 liquidators appointed in the first nine months of this year.