Record personal insolvencies in England and Wales in Feb 2026 driven by rising debt relief orders and financial strain.

Personal insolvencies in England and Wales hit a record 11,609 in February 2026, an 18% increase from the previous year, driven by a surge in debt relief orders (DROs) reaching 4,210—the highest monthly level since 2009. Experts cite ongoing financial strain from high living costs, inflation, and geopolitical tensions as key factors, despite policy changes like fee removal and expanded eligibility. While IVAs and bankruptcies also rose, breathing space registrations fell sharply. Company insolvencies increased slightly month-on-month but remained below last year’s levels, with sectors like haulage and construction facing pressure.