France: from 2022 to 2023 +41.5% business failures. Catering affected
According to data published on Wednesday by the Banque de France reported by Le Figarò , business insolvencies continued their upward trend in August and are approaching the level of 2019 in all categories, before the Covid-19 pandemic.
These bankruptcies affected a total of 50,441 businesses in the twelve months to the end of August, an increase of 41.5% compared to August 2022, compared to 51,145 in 2019. The number of businesses placed into liquidation or receivership is now only lower by 1.4% compared to 2019.
Insolvencies had fallen to historically low levels thanks to business support measures adopted during the health crisis, but their number has started to rise again since the beginning of 2022.
Very impressed restaurant
With the exception of microbusinesses, which account for more than 9 out of 10 bankruptcies, all other business categories continue to be well above their pre-crisis level .
Insolvencies exceed the 2019 level by 61.9% for very small businesses (VSE, less than 10 employees), by 79.1% for small businesses (10 to 49 employees), by 55% for medium-sized businesses ( from 50 to 249 employees) and 92.6% for medium-sized enterprises (ETI) and large groups. In the latter category, 52 companies went bankrupt in the last twelve months, compared to 27 in 2019.
The number of microbusiness failures increased by 38.9% in one year, but remains 4.8% lower than in 2019.
By sector, insolvencies increased the most over the past year in the hospitality and restaurant sector with an increase of 66.5% compared to August 2022. These activities had been particularly protected by government aid during the health crisis due to closure measures to which they had been subjected.
The recovery in insolvencies also remains very strong in industry with a 50% increase in one year, despite the government's desire to reindustrialise the country . Evidently Macron's good intentions do not correspond to actual effectiveness….
In information and communication the increase reached 47.3% and in financial and insurance activities it was 44.6%.
The crisis is also hitting beyond the Alps, despite the government's attempted pro-business policies. And we still don't have the full impact of the auto sector crisis.
Thanks to our Telegram channel you can stay updated on the publication of new Economic Scenarios articles.
The article France: from 2022 to 2023 +41.5% business failures. The catering sector is affected and comes from Economic Scenarios .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/francia-dal-2022-al-2023-415-fallimenti-aziendali-colpita-la-ristorazione/ on Sun, 17 Sep 2023 14:00:42 +0000.