dollar boat in the bad weather illustration economic instability

The number of bankruptcies and consumer debt proposals declined in August, but remain elevated from last year, according to new data from the Office of the Superintendent of Bankruptcy Canada (OSB).

In August, the total number of insolvencies (including both bankruptcies and proposals) declined by 2.6% from July, but still came in 7.1% higher than in August 2018.

For the 12-month period ended Aug. 31, the total number of insolvencies was up by 6.9% from the same period in the previous year, the OSB reported.

Consumer insolvencies for the 12 months to Aug. 31 rose by 6.9%, as bankruptcies declined by 2.9% but consumer proposals increased by 14.9%.

Business insolvencies also increased by 6.5% over the same 12 month period, the OSB noted.