The downturn in the Alberta economy, largely due to the sudden drop in energy prices, has taken its toll on consumers. The federal government released their quarterly data and the results paint a picture of the provincial consumer in need of debt relief. Total insolvencies for the province rose dramatically quarter-over-quarter by 21%. Bankruptcies alone rose nearly 24% quarter-over-quarter, with over 1,140 filings in Q1 2016.
The increase in bankruptcies March 2014-March 2015 vs. March 2015-March 2016 is up nearly 21% with over 1,409 filings in the past year.
With no relief coming in form of an economic upswing, coupled with rising unemployment, the numbers do not indicate any slowdown in the foreseeable future.
Calgary had a tiny decrease in declared bankruptcies in the past quarter. Edmonton, on the other hand, appears to be suffering more with a quarter over quarter increase in filings of 50%.
Alberta led all provinces with the greatest percentage increase in insolvencies over the past quarter.