Insolvency numbers surged in August, according to new data from the Office of the Superintendent of Bankruptcy (OSB).
The total number of bankruptcies and consumer proposals rose by 6.2% month over month in August. Bankruptcies were up by 9.5% and proposals increased by 4.7%.
Compared with August 2020, total insolvencies were up by 8.1% this year, the OSB said.
The increase since last August came entirely from consumers, with consumer insolvencies increasing by 8.5%. Business insolvencies dropped by 5.6% from August 2020.
Notwithstanding the uptick in August, insolvencies for the past 12 months are still down significantly.
In the 12 months to Aug. 31, the total number of insolvencies dropped by 18.8% compared with the previous 12-month period. Over the same period, consumer insolvencies were down by 18.8%, and business insolvencies dropped by 19.9%.