New Zealand’s insolvency environment remains under sustained pressure, with elevated formal appointment volumes continuing into the first quarter of 2026. While the pace of the increase has slowed, the overall level of formal insolvencies remains well above long-term averages, signalling that financial stress across the economy is proving slow to unwind.
In this edition, we explore how delayed interest rate relief, constrained working capital, and heightened enforcement activity by Inland Revenue are shaping insolvency outcomes. Construction continues to be the most distressed sector nationwide, with accommodation and food services also under persistent strain. Regionally, Auckland accounts for more than half of all…