German firms are preventing for survival – bankruptcies attain their peak in October! – Are you completed with that?

From the NoTricksZone

By P Gosselin on November 19, 2025

BlackoutNews reports here that the German economy is currently struggling with massive turmoil, with the latest corporate insolvency figures peaking in October 2025.

The German middle class in particular is coming under increasing pressure in the ongoing recession.

The wave of insolvencies does not affect all sectors equally. Particularly hard hit: transport, construction and gastronomy and catering.

At the beginning of August 2025, the authorities reported 1,979 corporate insolvency applications, which corresponds to an increase of over twelve percent compared to the previous year. At the same time, creditors’ claims rose to a whopping 5.4 billion euros. Additional burden on society: With 6,132 consumer bankruptcies, this number is also increasing significantly.

High energy prices

According to Blackout News, the reasons for this dramatic increase are varied and mutually reinforcing. No. 1 is the shockingly high energy costs and rising raw material prices. Green energy makes energy one of the most expensive in the world.

The economic problems have led to low domestic demand, particularly affecting retailers and service providers.

This is also due to crippling bureaucracy and slow approval processes that hinder urgently needed investments.

The future looks bleak

For 2025 as a whole, experts expect around 24,500 company bankruptcies, the highest figure since 2015.

A quick recovery is not in sight. Allianz Trade has tempered expectations, predicting possible improvement from 2027 at the earliest, depending on government stimulus and geopolitical stabilization.

Without fundamental changes – such as investments in location attractiveness, a more stable energy supply and tax simplifications – the German economy faces a permanent loss of substance. The current development is an urgent wake-up call for politics and business.

Germany serves as an example of how not to manage a country’s energy supply and economy.

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