Trading with Confidence in an Uncertain Economy
Trading With Confidence In An Uncertain Economy
Irish businesses are facing a period of heightened financial uncertainty, as a combination of persistent late payments, increasing insolvency levels and ongoing global economic disruption continues to challenge traditional trading models.
According to PwC’s latest Insolvency Barometer for Q1 2026, 212 insolvencies were recorded in the first quarter of the year. A closer look at sector performance highlights where these risks are most acute. Retail accounted for almost a quarter of all insolvencies in Q1 2026, reflecting the ongoing strain on consumer-facing businesses. Meanwhile, the hospitality sector remains under significant pressure, with an insolvency rate of 62 per 10,000, more than double the national average.
Geographically, Dublin continues to dominate, accounting for over half of all insolvencies, with 110 cases recorded in the capital alone this quarter. Cork and Kildare follow at a considerable distance, with 22 and 14 insolvencies respectively, reinforcing the concentration of financial distress in key urban centres.
Against this backdrop, the risks associated with trading on credit have become increasingly pronounced. Campion Insurance works with businesses to move beyond reactive risk management and build strategies that are proactive, practical and tailored to what each company needs.
Trade Credit Insurance: Enabling Smarter Trading
Michael Henchy, Trade Credit Specialist, Campion Insurance, Ennis, outlines the benefits of Tax Credit Insurance
When a customer pays late or not at all the impact on cashflow can be swift and serious. Trade credit insurance (TCI) protects businesses against exactly this risk, covering losses from customer insolvency or protracted non-payment. But its value extends well beyond a safety net.
‘‘Trade credit insurance has evolved significantly in recent years,’ said Michael Henchy, Trade Credit Insurance specialist at Campion Insurance. “It is no longer just about protecting bad debt; it is about enabling businesses to trade with confidence. In a climate where uncertainty has become the norm, companies need tools that not only safeguard them but also support smarter decision-making, stronger financial planning and sustainable growth.”
TCI can also strengthen a company’s access to finance and provide detailed intelligence on customer creditworthiness helping businesses decide who to trade with and how far to extend credit. That said, it works best as part of a wider risk management strategy. Companies with concentrated customer bases, international trade exposure, or tighter margins are often those who benefit most. For others, the value proposition depends on their specific circumstances which is why expert guidance
is essential before committing.
How Campion Insurance Can Help
Whether you’re an SME looking to protect your debtor book or a contractor building capacity for larger tenders, our team at Campion Insurance provides specialist advice tailored to your business.
We don’t offer off-the-shelf solutions we take the time to understand your risk profile, your trading relationships and your growth ambitions, then recommend cover that genuinely fits.
In today’s environment, the businesses that will thrive are those that manage risk intelligently not
those who simply hope for the best.
Michael Henchy is Campion’s Local Trade Credit Specialist. You can email Michael at: mhenchy@campion.com
