According to the latest analysis from construction industry marketing specialist Insight Data, builders’ merchant insolvencies jumped by 75% from eight in June 2025 to 14 in July.

The sharp increase follows June’s encouraging 47% drop in closures, highlighting the unpredictable nature of current market conditions where the sector has experienced significant month-to-month fluctuations throughout 2025.

Regional data reveals an even spread of insolvencies across the UK, with Southern Counties, Northern Ireland, Home Counties, South West and the North West all accounting for 14% of the reported closures. While the Northern Counties, East Midlands, Scotland and Yorkshire experienced builders’ merchants shutting shop, they each only represented 7% of the insolvencies.

Alex Tremlett, Commercial Director at Insight Data, explained: “Although July’s spike in builders’ merchant insolvencies is disappointing, especially after June’s more positive results, they do reflect the various peaks and troughs we’ve seen throughout the year.

“What’s particularly interesting about July’s figures is how evenly spread the closures are geographically. Unlike previous months where specific regions were hit harder than others, we’re seeing that these widespread challenges are affecting different areas in the UK.”

As the industry waits for market recovery, businesses continue to navigate rising operational costs, supply chain issues and broader economic challenges. Tremlett added: “These latest figures highlight why access to real-time, accurate market intelligence is absolutely crucial. Companies need comprehensive data to identify risks and opportunities as they navigate these unpredictable market conditions and attempt to plan for an uncertain future.”