The number of ordinary citizens of the Canary Islands who cannot cope with their debts has grown by 266% in the third quarter of 2023. As revealed by data released this Monday by the General Council of the Judiciary (CGPJ), between July and September a total of 539 applications for bankruptcy proceedings were filed.
Meanwhile, the illegal occupation of homes and evictions of properties for non-payment in the islands have decreased.
With these data, the Canary Islands has become the second community with the highest percentage increase in bankruptcy petitions. Only behind Cantabria and ahead of Murcia. Furthermore, it is the second autonomous community with the most bankruptcies per inhabitant. The most affected people were non-business individuals, or what is the same, ordinary citizens.
The report Effects of the economic crisis on judicial bodies made public this past Monday that the growth of old bankruptcies in Spain was 89.7%. This means that bankruptcy proceedings, in the Islands, increased by 176.3% more than the national average between the past months of July and September.
Regarding bankruptcies in legal entities, in these three months 19 procedures were recorded, a decrease of 58.7% compared to the same period of 2022. Meanwhile, bankruptcies of business individuals have also decreased by up to 85%.
Regarding the monitoring procedures, those aimed at claiming the collection of a monetary debt, have increased by 13.3% in the Canary Islands. Specifically, they reached 15,701 cases. The Archipelago is leading the country in the number of monitoring processes per 100,000 inhabitants, reaching 709.5. Ahead of communities such as Madrid and Murcia.
Dismissals
The Canary Islands continues to have the highest rate of lawsuits for dismissals in the country. The labor courts of the Canary Islands have initiated a total of 2,488 procedures in the third quarter of the year. This represents an increase of 19.7% compared to the same period of 2022 (2,079).
In this line, foreclosures decreased by 43.4% in this quarter. That is, the number of entities, mostly banks, that required mortgaged properties for non-payment. In this case, they went from 205 in the same period of 2022 to 116 in the last year.
Evictions of properties for non-payment or evictions decreased by 30.4%. Despite this, the autonomous community was the one that experienced the most evictions (13.3) for non-payment of rent per 100,000 inhabitants.
The occupation of homes in the Canary Islands also decreases, where it decreased by 30.6%, detecting 25 cases in the summer of 2023.