A total of 100 company insolvencies were registered in Scotland in May 2026, down 25% from May 2025.

The figures show that insolvencies comprised 51 creditors’ voluntary liquidations (CVLs), 40 compulsory liquidations, seven administrations and two company voluntary arrangements (CVAs). There were no receivership appointments during the month.

CVLs remained the most common form of insolvency, continuing a trend that has been evident since 2020. Historically, compulsory liquidations were the dominant insolvency procedure in Scotland, but CVLs have typically outnumbered compulsory liquidations since April 2020.

The latest data also showed a slight improvement in the overall insolvency rate. In the 12 months to May 2026, Scotland’s company insolvency rate stood at 51.0 per 10,000 companies on the effective register, down from 51.7 in the 12 months to May 2025.

The statistics are based on insolvency registrations at Companies House rather than the dates insolvency procedures began.

Separate figures show that between June 2020 and May 2026 there were four restructuring plans and two moratoriums recorded in Scotland. Both procedures were introduced under the Corporate Insolvency and Governance Act 2020.

Michelle Elliot, restructuring advisory partner at FRP, commented on the figures: “The figures are a welcome development, but it’s important to remember that businesses are still operating in a highly complex environment. The ongoing impact of the conflict in the Middle East means higher energy costs and uncertainty across supply chains, while pressure on consumer and business spending remains a challenge across many sectors.

“Our recent research found that almost three quarters of mid-market Scottish business leaders say decision-making has become harder over the past year. While periods of uncertainty can encourage caution, delaying important decisions can often create additional pressure further down the line, particularly when businesses are already managing tight margins and competing priorities.

“A more stable insolvency picture shouldn’t encourage complacency. Businesses that continue to challenge assumptions, revisit plans and act on emerging risks early will be better equipped to deal with whatever the second half of the year brings.”