“Post the GFC there was a clear general decline in terms of insolvency appointments, and that dropped even further off the back of Covid and the pandemic,” Johnstone said.
“But what you’ll be seeing now, and we’re certainly seeing across RITANZ’s members, is that those insolvency appointments are now starting to increase to the point that if you ignore the low noise that happened during Covid, we’re now circa 40% above pre-pandemic levels.”
Johnstone said the spike in insolvencies during the GFC was linked to the collapse of property finance companies, which New Zealand no longer had the same level of.
She attributed the recent rise to an increased focus on enforcement by Inland Revenue, as well as a lag of companies in…