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Accommodation and food services had 268 insolvencies per 10,000 businesses in 2025, the highest of the nine largest industries for the eleventh year running.
Published 3 November 2026
All articlesThe Insolvency Service's business insolvency demography, released on 19 June 2026, puts accommodation and food service activities at 268 insolvencies per 10,000 businesses in 2025. That is the highest rate of the nine largest industries, ahead of manufacturing at 167, and the sector has had the highest rate every year since 2015.
The count is of businesses registered for VAT or PAYE, not of companies, so it cannot be compared with the headline company insolvency rate.
Four numbers each week give early warning: sales against the plan for the week, labour cost as a share of sales, food and drink gross profit, and cash in the bank against the VAT, PAYE and rent due in the next month.
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Manufacturing, at 167 insolvencies per 10,000 businesses.
No. It is per business registered for VAT or PAYE, so it is not comparable with the company insolvency rate.
Send us your last accounts, a recent VAT return and one payroll run. We will show you what we would change and what it would cost each month.