CPABC in Focus July/August 2018 | Page 22

Business bankruptcies Business insolvencies have been declining in BC for over a decade , which points to a well-established and stable entrepreneurial environment . In 2017 , total insolvencies dropped by 27.1 %, down from 199 to 145 . Except for the Cariboo , where the number of bankruptcies increased by two , all development regions saw a decline in this indicator last year . The top three performers were Thompson-Okanagan ( -50 %), Vancouver Island / Coast ( -34.6 %), and Southwest BC ( -15.2 %). In Northeast BC , the absolute number of insolvencies dropped from five to zero in 2017 . The Kootenay , North Coast , and Nechako development regions each saw their business insolvency numbers decline by one .
Table 3 : Business Bankruptcies in All Development Regions , 2012-2017
Change
Region
2012
2013
2014
2015
2016
2017
5-Year
1-Year
2012-17
2016-17
Cariboo
3
2
2
5
3
5
2
2
Kootenays
11
7
6
1
3
2
-9
-1
Nechako
0
0
0
0
2
1
1
-1
North Coast
2
0
0
2
1
0
-2
-1
Northeast BC
3
3
3
3
5
0
-3
-5
Southwest BC
148
118
168
146
125
106
-42
-19
Thompson-Okanagan
57
62
30
26
30
15
-42
-15
Vancouver Island / Coast
44
64
44
37
26
17
-27
-9
British Columbia
268
255
256
222
199
145
-123
-54
Source : Office of the Superintendent of Bankruptcy Canada .
Living in regional BC
Educational attainment BC ’ s labour force educational attainment for workers between the ages of 25 and 54 increased by 2 % in 2017 , which means that the share of individuals in the main segment of the workforce with post-secondary accreditation 9 rose to 71.4 %. Educational attainment in the labour force has increased consistently for most of the past 15 years in response to an evolving knowledge economy , technological advancements , and changing labour market requirements . Between 2012 and 2017 , BC ’ s educational attainment indicator rose by 4.9 ppt . Apart from the Kootenays and Vancouver Island / Coast , educational attainment rose in BC ’ s development regions in 2017 . Southwest BC boasted the highest educational attainment level in 2017 , at 73.8 %; this marked an increase of 2.4 ppt over the previous year . Thompson-Okanagan saw a 4.1-ppt increase , and Cariboo ranked second in terms of increases at 3.9 ppt . Educational attainment also rose in Northwest BC (+ 2.9 ppt ) and Northeast BC (+ 2.2 ppt ). By contrast , Cariboo and Vancouver Island / Coast saw declines of 1.9 ppt and 1.5 ppt , respectively .
Consumer insolvencies BC ’ s consumer insolvency rate , defined as the number of personal insolvencies per 1,000 adults over age 18 , has declined every year since 2012 . In 2017 , the insolvency rate dropped by 10.7 % to 2.5 per 1,000 adults ( age 18 +). 10 Between 2012 and 2017 , this rate declined by 21.9 %— an encouraging trend . The general improvement in consumer financial vulnerability affected most , but not all , of the development regions . Nechako and Vancouver Island / Coast saw the greatest declines in consumer insolvencies in 2017 , at 27.3 % and 17.1 %, respectively . Cariboo was close behind , with a decrease of 16.3 %. The insolvency rate also declined in Southwest BC ( -8.3 %), Thompson-Okanagan ( -6.3 %), and Northeast BC ( -2.6 %). There was no change in the Kootenays , however , and consumer insolvencies in North Coast actually grew by 33.3 %.
9
Defined here as a post-secondary certificate / diploma or higher .
10
Insolvencies include both bankruptcies and proposals .
22 CPABC in Focus • July / August 2018