LUXEMBOURG / RankWire.AI / – European Union business registrations declined in the second quarter of 2026, while bankruptcies surged sharply. Seasonally adjusted data show new business registrations decreased by 0.5% from the first quarter. Meanwhile, bankruptcy filings rose by 5.7% during the same period, according to Eurostat data published on Monday. This rise pushed EU bankruptcy numbers to their highest since the first quarter of 2019. The latest figures include data on both registrations and bankruptcies across the bloc’s entire business sector.
The eurozone experienced a similar trend in the second quarter. Business registrations fell by 0.1% compared to the previous quarter, while bankruptcy declarations increased by 6.9%. These figures follow declines in both measures during the first quarter of 2026. EU business registrations had decreased by 0.9% in late 2025’s first quarter, and bankruptcies had dropped by 2.4% in that period. The second quarter brought further decreases in registrations and a renewed rise in bankruptcy filings.
Out of the eight sectors covered by the quarterly data, five saw a decline in registrations. Industry experienced the largest drop, with a 3.6% decrease from the previous quarter. Accommodation and food services declined by 3.4%, and education and social services decreased by 3.2%. In contrast, information and communication saw an 8.8% increase in registrations. Construction grew by 1.0%, while financial services showed no change compared to the previous quarter. In most sectors, registration levels remained above late 2019 figures.
Five key sectors see rising bankruptcy counts
During the second quarter, bankruptcy declarations increased in five of the eight sectors. Education and social activities experienced the largest rise, up 21.1%. Transport saw an 11.4% increase, and financial services grew by 6.8%. Three sectors reported declines: accommodation and food services fell 2.6%, construction dropped 1.7%, and trade decreased by 1.2%. Overall, bankruptcy levels in the business economy remained above the figures from the fourth quarter of 2019.
Country-specific data reveal significant variations across the EU. Luxembourg saw the largest quarterly drop in new registrations at 24.2%. Lithuania followed with a 12.4% decline, and Denmark recorded an 8.2% decrease. Ireland experienced the strongest growth, with registrations up 20.4%. Belgium increased by 8.2%, and Sweden rose by 7.6%. Eurostat calculates national registration indices from official records and adjusts quarterly figures to better compare countries with different registration systems.
Sharp disparities emerge in country-level bankruptcy data
Among nations with available data, Estonia saw the largest quarterly increase at 31.8%. Greece followed closely with a 31.6% rise, and Croatia reported a 20.5% increase. Malta experienced the largest decline, dropping 50.0%. Cyprus saw a decrease of 41.7%, and Slovakia declined by 33.5%. Smaller economies tend to show larger percentage swings because their absolute bankruptcy numbers are low. These quarterly figures reflect changes in declarations rather than total business closures.
The statistics track legal registrations and formal bankruptcy procedures. They do not necessarily indicate the total number of new businesses or permanent closures. A registration marks the entry of a legal entity into the relevant register during the quarter. A bankruptcy declaration indicates a formal bankruptcy process has begun. This process does not always result in a business ceasing operations. Since 2021, EU countries have reported quarterly registration and bankruptcy data on a mandatory basis, as part of European business statistics rules.