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Insolvency activity activity cooled in July, but bankruptcy and debt restructuring filings remain elevated year over year, according to new data from the Office of the Superintendent of Bankruptcy (OSB).

There were just over 8,000 insolvencies in July, down 12.6% from the previous month as both bankruptcies and credit proposals dropped — by 12.3% and 12.6%, respectively.

Despite the month-over-month decline, the total number of insolvencies was up 19.1% in July compared with the same month last year, led by a 45.0% increase in business insolvencies, the OSB reported.

Over the same period, consumer insolvencies were up 18.4%, it noted.

Insolvencies are also up on an annual basis. For the 12 months ended July 31, the total number of insolvencies was up by 2.9% from the previous year.

Consumer insolvencies rose by 2.5% annually, led by a 10.2% increase in consumer proposals. Consumer bankruptcies were down by 13.7% in the year ended July 31, the OSB said. Business insolvencies were up 20.2% over the same period.

The OSB reported that the construction, accommodation and food services, and transportation and warehousing sectors recorded the biggest increases in insolvency activity year over year, whereas activity in the mining and energy sectors dropped.