Of the 951 companies what were made insolvent in 2021, 210 were active in the previous year, which is a 44% decrease from 2020 when they were 375. Thereof, there were 61 insolvencies in construction (44% decrease), 34 in wholesale and retail trade and vehicle repair (42% decrease), 38 in tourism industries (60% decrease) and 77 in other industries (31% decrease).
On average, there were 1254 employees in the previous year in companies made insolvent in 2021, which is a 60% decrease from 2020, when they were 3,158. There was a decreased effect of insolvencies in 2021 in all activities, judging from the number of employees in the previous year.
There were 23 corporate insolvencies registered in December 2021. Thereof, 14 were for companies that were active in the previous year, i.e. they either had registered employees according to the official PAYE tax registry or turnover according to VAT reports. This is a 39% decrease from December 2020.
On average, there were 165 employees in the previous year in companies made insolvent in the fourth quarter (Q4) of 2021, which is a 76% decrease from the fourth quarter of 2020, when they were 677. There was a decreased effect of insolvencies in the fourth quarter of 2021 in all activities, judging from the number of employees in the previous year.
Statistics Iceland publishes monthly updates on insolvencies of registered companies. The number of insolvencies for the latest month are temporary estimates and are subject to change with increased information on insolvency registrations from judicial authorities.