Correlation between insolvencies and fuel price
Soaring global oil prices are emerging as a major insolvency trigger for Australia’s construction industry, amplifying pressures on contractors already battling thin margins, volatile input costs and tightening cash flow
A new report from Halo Advisory reveals a 25-year correlation between Brent Crude spikes and surges in Australian corporate insolvency appointments.
Data from the Australian Securities and Investments Commission (ASIC) and the Reserve Bank of Australia shows that every major oil price peak since 2000 has been followed by a predictable wave of business failures, usually within the same year.
While the record 14,722 insolvencies recorded in 2024–2025…