Consumer insolvency filings in Quebec jumped 10% in June compared to the same month last year, driven by increases in both consumer proposals and bankruptcies, according to data from the Office of the Superintendent of Bankruptcy. While business insolvencies ticked down 0.4%, household financial strain continues to widen across the province.
The Bottom Line
- Filing Breakdown: Consumer proposals rose 11.4% to 1,986 filings, while formal bankruptcies increased 6.7% to 871 filings in Quebec during June.
- National Comparison: Quebec’s 10% consumer insolvency increase sits below the national average of 11.5%, with Ontario and New Brunswick seeing spikes of 14.3% and 28.4% respectively.
- Macro Pressure: Insolvency professionals note that heavily indebted Canadians have not yet rebuilt enough fiscal buffer to begin paying down accumulated liabilities.
Decoding the June Insolvency Data in Quebec
According to data released by the Office of the Superintendent of Bankruptcy, total consumer insolvencies in Quebec reached 2,857 dossiers in June. That represents a 10% expansion compared to June of the previous year.
Here is the math behind that headline figure: 1,986 consumers opted for proposals to their creditors, marking an 11.4% year-over-year increase. Meanwhile, 871 individuals filed for formal bankruptcy, a 6.7% bump. But the balance sheet across the rest of the country tells an even more aggressive story of consumer leverage stress.
Quebec’s 10% acceleration actually tracks below the broader Canadian average of 11.5% for the same month. Neighboring Ontario recorded a 14.3% surge in consumer insolvency dossiers, while New Brunswick led regional spikes with a 28.4% increase.
Corporate Solvency Holds Firm While Households Stumble
While consumer balance sheets deteriorate, the commercial sector in Quebec tells a divergent story. Corporate insolvencies in the province edged downward by 0.4% over a 12-month period, settling at 228 dossiers in June. This resilience stands in contrast to the national corporate landscape, which registered a 5.5% increase in business insolvencies.
Looking at the broader second quarter—spanning from April 1 to June 30—the cumulative total of both consumer and business insolvency dossiers in Quebec grew by 3%. Nationally, Q2 filings climbed 6.6% compared to the same three-month window in 2025.
| Insolvency Metric (June) | Quebec Figures | Year-Over-Year Change (QC) | National Average Change |
|---|---|---|---|
| Consumer Proposals | 1,986 | +11,4% | Not Reported |
| Consumer Bankruptcies | 871 | +6,7% | Not Reported |
| Total Consumer Insolvencies | 2,857 | +10% | +11,5% |
| Business Insolvencies | 228 | -0,4% | +5,5% |
Assessing the Macroeconomic Margins
As Wesley Cowan, a licensed insolvency trustee and vice-president of the Canadian Association of Insolvency and Restructuring Professionals (CAIRP), stated in a recent release: “Les dernières données sur l’insolvabilité donnent à penser que bon nombre de Canadiens fortement endettés n’ont pas encore retrouvé une marge de manœuvre budgétaire suffisante pour commencer à réduire leurs dettes.”
