Latest Market Alert | 22 June 2026
Executive Summary
City AM reports that property-sector insolvencies have risen sharply and are running at their highest levels in around a decade, reflecting continued pressure from elevated financing costs, subdued transaction activity and construction inflation.
The increase reflects continued pressure from elevated financing costs, subdued property activity, planning delays and construction cost inflation. The trend is attracting growing attention from lenders, investors, insurers and developers.
Source: City AM
Why It Matters
Property markets often act as a leading indicator for wider construction, lending and investment activity. Rising insolvencies can signal increasing stress across development, contracting and real estate services.
UK Commercial Impact
UK lenders, insurers, developers, contractors and investors may face higher counterparty risk, greater refinancing challenges and increased scrutiny of project viability.
Global Commercial Impact
International investors continue to monitor UK commercial property conditions as a gauge of broader economic confidence and investment attractiveness.
Our View
The significance is not the insolvency numbers alone. The trend highlights the pressure that higher borrowing costs and slower transaction activity continue to place on property-related businesses. Clients with exposure to construction, development or commercial real estate should continue monitoring counterparty resilience closely.
Risk Indicator
LOW ░░░░░░░░ HIGH
▲ Moderate / Elevated
Disclaimer
This Market Alert is provided for general information purposes only and does not constitute investment, legal, tax, regulatory, insurance or financial advice. Information has been obtained from sources believed to be reliable at the time of publication; however, no representation or warranty is given as to its accuracy or completeness. Readers should obtain independent professional advice before making any commercial or financial decisions. Invictus Risk Solutions LLP accepts no liability for any loss arising from reliance on this publication.