What caused the spike in Switzerland bankruptcies 2025?

A legal change required public bodies to initiate insolvency proceedings when firms stop meeting obligations. That pushed hidden failures into official statistics, lifting corporate bankruptcies to 14,958, up over 30%. Private bankruptcies rose nearly 12%, adding pressure on lenders and suppliers. The jump reflects both a technical shift and real liquidity stress.

Is the rise in bankruptcies a sign of recession in Switzerland?

Not necessarily. The insolvency law change inflated reported cases by accelerating filings. At the same time, record company formations show ongoing entrepreneurial activity. Still, payment stress is real for weaker firms. We see tighter lending standards and trade terms in early 2026, even without a broad downturn in headline activity.

How will lenders respond in 2026?

Banks and non-bank lenders will likely reprice risk. Expect higher spreads for marginal borrowers, stricter collateral, and closer monitoring of arrears and tax debts. Working capital lenders may trim limits or shorten maturities. Institutions will use fresh Creditreform Switzerland data to adjust exposure by segment as default signals change month by month.

What should SMEs do to reduce insolvency risk now?

Secure liquidity before you need it, standardize collections, and shorten payment terms where possible. Review customer limits based on current cash flow, not past sales. Consider trade credit insurance. Trim slow stock to release cash. Build a 3–6 month cash buffer and escalate sooner on late invoices to avoid compounding losses.

Global Market Insights

December 31: Swiss Bankruptcies Jump 30% in 2025 on Law Change

ByHuzaifa Zahoor December 31, 2025December 31, 2025

Switzerland bankruptcies 2025 rose sharply. On December 31, Creditreform Switzerland reported 14,958 corporate cases in 2025, up more than 30% after an insolvency law change required public bodies to initiate proceedings. Private bankruptcies increased nearly 12%. Despite record company formations, this shift points to tighter credit and stricter payment terms in early 2026. We explain what changed, the likely impact on financing, and the practical steps investors and business owners in Switzerland can take now.