Debt crackdowns by the ATO and big four banks have caused court wind-ups of businesses to surge by 133 per cent in the first half of FY2024, data from Insolvency Australia shows.
Its Corporate Insolvency Index found voluntary administration numbers were up 14 per cent and controller appointments jumped 34 per cent, bringing total appointments to 4,531, a 24 per cent increase over the same period in FY2023.
Director Gareth Gammon said large legacy debts from the COVID-19 era, combined with higher living costs, inflation and low discretionary spending created a “perfect storm of stressors” for business insolvencies.
“The resounding theme is the rate at which the ATO and big four banks are redoubling their debt…
