Insolvencies fell from 279 in May 2026 to 237 in June 2026 and insolvencies in the sector also dropped 23% compared to the same month in 2025 (307).
The good summer weather and a number of sporting events have been attributed to the drop in insolvencies, with pubs the main beneficiaries.
“The hot weather and major sporting events such as the World Cup have given the hospitality industry an important lifeline, with insolvencies continuing to trend downwards,” says Saxon Moseley, partner and head of leisure and hospitality at audit, tax and consulting firm RSM UK.
“Pubs have been the main beneficiary, helping to offset weaker growth in other parts of the industry. The major concern is whether this momentum continues once the sunshine disappears or if it’s simply a short-term boost – either way operators need to maximise trading while the demand is there.”
Gordon Thomson, restructuring partner at RSM UK, adds that Andy Burnham coming in as new Prime Minister could provide some stability to the sector.
“Global and domestic uncertainty is leading operators to sit on their hands as they take a wait and see approach before triggering an insolvency process,” he says.
“While international uncertainty is expected to continue, the appointment of Andy Burnham as PM should help to provide some stability to the sector. But that’s dependent on the government setting out pro-growth policies that provide businesses with a clear sense of direction and help to restore confidence.”
Many businesses will still be operating in a challenging environment, with cost pressures, weaker demand and ongoing cashflow strain continuing to weigh on trading conditions, warns Oliver Collinge, partner at PKF Littlejohn Advisory.
“The fall in registered company insolvencies in England and Wales in June is a welcome sign,” he says. “Retail and hospitality, and the construction sector continue to face significant pressure. Interestingly, the incoming Prime Minister’s team has indicated a willingness to consider extra assistance to help these industries, and businesses will be waiting to see if any of those ideas become policy in the coming weeks.
“Regardless of what happens with government policy, it remains important for businesses to plan ahead and seek early advice if financial difficulties begin to emerge.”