Consumer insolvencies have reached their highest quarterly level since the global financial crisis in 2009, according to the Canadian Association of Insolvency and Restructuring Professionals (CAIRP).
New data from the Office of the Superintendent of Bankruptcy showed that 37,121 Canadians either filed a consumer proposal or declared bankruptcy in the first three months of 2026, which is an increase of 8.5% over the same period last year.
That figure amounts to about 17 people filing for insolvencies every hour, CAIRP said.
In the first three months of this year, 7,576 Canadians filed for bankruptcy, while 29,545 filed for insolvency.
British Columbians most hard hit
Regionally, British Columbia saw the biggest increase in insolvencies with 4,234 reported in the first three months of this year, up 15.4% compared to the same period in 2025.
Prince Edward Island also saw an increase in insolvencies with 167 reported in the first quarter, up 15.2% from the same period last year, while 14,281 insolvencies, which was a 14.4% increase.
“The latest consumer insolvency data suggests more Canadians are reaching a financial breaking point,” said Wesley Cowan, a licensed insolvency trustee and vice-chair of CAIRP, per Global News .
“The concern is that many households are entering this next period of economic uncertainty already carrying debt they can no longer comfortably manage,” Cowan said.
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Business numbers not so grim
Meanwhile, Canadian businesses did not appear to be struggling financially as much as the general population with 1,232 businesses filing for insolvency in the first quarter of the year, down 7.5% from a year earlier.
The most business insolvencies in Quebec with 682, a 5.4% decrease, followed by Ontario with 368, which was a 4.5% increase.
