European Union business registrations fall as bankruptcies hit 2019 highs

Eurostat data for the second quarter of 2026 indicates a challenging economic climate within the European Union. New business registrations across the bloc fell by 0.5%, while corporate bankruptcies rose by 5.7%, reaching the highest level since early 2019.

Sectoral trends show significant divergence. The industrial sector saw the largest decline in new registrations at 3.6%, followed by accommodation and food services. Conversely, the information and communication sector experienced growth of 8.8%, and construction saw a 1.0% increase.

Bankruptcy trends were particularly volatile, with the sharpest increases occurring in education and social activities (+21.1%), transport (+11.4%), and financial services (+6.8%). Some sectors, including trade, construction, and hospitality, saw a decrease in insolvency filings.

On a regional level, Cyprus reported a 41.7% drop in bankruptcy filings, though Eurostat noted this figure is influenced by the island's small sample size. In contrast, Estonia and Greece recorded some of the largest increases in bankruptcies within the EU.