New data from Eurostat reveals a shift in the European business landscape for the second quarter of 2026. Official figures show a decrease in new business registrations by 0.5 percent alongside an increase in bankruptcy declarations by 5.7 percent compared to the first quarter of the year.
The decline in new registrations hit several sectors hard. The industry sector saw the largest contraction at 3.6 percent. Accommodation and food services followed with a 3.4 percent drop, while education and social services fell by 3.2 percent. Despite these broader trends, some areas showed growth. The information and communication sector recorded an 8.8 percent increase in registrations, showing a clear outlier in an otherwise cooling environment. The construction sector also saw a modest rise of 1.0 percent, and financial services remained flat.
Bankruptcies paint a difficult picture for service-based industries. Education and social activities experienced the highest spike in insolvency filings with a 21.1 percent increase. The transport sector followed with an 11.4 percent rise, and financial services saw bankruptcies grow by 6.8 percent. Conversely, some sectors reported improved stability. Accommodation and food services, construction, and trade all recorded lower bankruptcy levels compared to the previous quarter.
These numbers highlight the current state of the European economy as it moves through the mid-point of 2026. While the data provides a specific snapshot of business health across various sectors, it signals a period of contraction for many traditional business models. For further analysis on these figures and additional breakdowns by industry, researchers and business leaders can access the full datasets provided by the European Union statistical office.