The number of bankruptcies rose sharply in the second quarter of 2012. In total, a quarter more companies went bankrupt than in the same period last year. Only in the provinces of Groningen (-5%) and Drenthe (-17%), fewer companies went bankrupt. The hardest hit are in the construction and manufacturing sectors.
A total of 2,009 companies went bankrupt, an increase of 24 percent compared to the second quarter of 2011. Although Statistics Netherlands recently recorded economic growth of 0.3 percent, this is not reflected in the number of bankruptcies. Jan Willem de Vries, Managing Director of Dun & Bradstreet: "We know from experience that it can take some time for the number of insolvencies to decrease in times of economic recovery. Based on forecasts from the Netherlands Bureau for Economic Policy Analysis, we expect the total number of bankruptcies to reach 8,850 in 2012. This is 27 percent more bankruptcies than in 2011.'
Construction and industry in dire straits
In the second quarter, it appears that the construction and manufacturing sectors are particularly hard hit. In manufacturing, the number of bankruptcies rose by 49 percent, in construction even by 70 percent. De Vries: 'These figures clearly show that the construction and housing market is in serious trouble. Because banks are still reluctant to provide credit to companies or individuals who want to buy a home, it is expected that these sectors will not recover for some time.
Fewer bankruptcies in Drenthe and Groningen only
In the provinces of Drenthe (-17 percent) and Groningen (-5 percent), a decrease in the number of bankruptcies was observed. Gelderland (+72 percent) and Friesland (+45 percent) saw the largest increase in the number of businesses going bankrupt. Below is an overview of the development per province in the second quarter, compared to 2011.
1. Gelderland (+72 percent)
2. Friesland (+45 percent)
3. Zeeland (+41 percent)
4. Overijssel (+39 percent)
5. Limburg (+31 percent)
6. North Brabant (+30 percent)
7. Flevoland (+23 percent)
8. North Holland (+22 percent)
9. Utrecht (+9 percent)
10. South Holland (+5 percent)
11. Groningen (-5 percent)
12. Drenthe (-17 percent)