Home topics news Credit: Towfiqu barbhuiya News News Business payment defaults surge 52 pct in June Yajush Gupta July 12, 2023 The latest CreditorWatch Business Risk Index (BRI) for June 2023 has revealed a concerning reality – B2B trade payment defaults have reached an unprecedented level. This indicates that businesses are at risk of collapsing, with insolvency rates likely to rise in the coming months. According to the June 2023 CreditorWatch BRI, B2B trade payment defaults have reached a record high, suggesting that businesses are facing increasing stress and the rates of insolvencies are expected to rise in the near future. The data from CreditorWatch’s payment defaults reveals that businesses with a single trading partner lodging a payment default against them have a 26 per cent chance of insolvency within the next 12 months. This percentage increases to 45 per cent for businesses with payment defaults lodged by two trading partners and jumps to 65 per cent for defaults lodged by three or more trading partners. Furthermore, other leading business indicators such as credit enquiries, court actions, and external administrations also reflect a deterioration in business conditions. On a positive note, the Business Risk Index data for the past 12 months highlights that the three biggest improving regions are all located in Western Brisbane: The Gap-Enoggera, Brisbane Inner-West, and Kenmore-Brookfield-Moggill. These regions boast below-average rental and property costs, above-average incomes, low personal insolvency rates, and score highly on the ABS indexes of social advantage and economic opportunity. Key insights from