Germany is facing a tense market environment in 2026, with an elevated risk of insolvency among large companies with annual revenue exceeding ten million euros.
Rise in insolvencies
Restructuring experts expect major insolvencies to rise by 15% to 20% compared to last year. In 2025, the number of insolvency filings by large companies reached a peak of 471 cases – an increase of 25% compared to 2024, which had already seen a rise of 35% on the previous year.
Challenges
The reasons for this increase extend beyond cyclical fluctuations. These include weak overall economic performance, intense international competition, high energy and labour costs, as well as a high bureaucratic burden. In addition, international trade barriers and political factors such as tariffs imposed by the USA are further intensifying the difficulties.
The challenges are diverse and predominantly structural, placing many industries under existential strain. Sustainable restructurings are becoming increasingly difficult, and the macro-economic impact is significant.
Sectors at risk
Sectors particularly at risk include the manufacturing industry – such as the mechanical engineering sector and automotive suppliers – personnel service providers, food manufacturers, and the healthcare sector.
Meanwhile, building construction and planning services are showing positive trends as a result of government investment programmes.
Find out more
To discuss the issues raised in this article in more detail, please contact a member of our Restructuring and Insolvency team.
