Australia's construction industry experiences high insolvencies, with 7,000 firms bankrupt in three years, amid economic downturn and rising building costs.

Since July, Australia's construction industry has averaged eight firm insolvencies daily, exacerbated by a 40% rise in building costs since 2019 and an economic downturn. Over 7,000 companies have gone bankrupt in three years, positioning construction as the largest insolvency sector. Homeowners face unfinished projects and limited recovery options, as insolvency laws favor secured creditors, leaving them to potentially find additional funds to complete their homes.

October 13, 2024
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