Latest Debt News
Massive rise in IVAs
03/02/2006 17:54:00
There has been another steep rise in the number of personal insolvencies in the UK over the last three months, according to figures from the Department of Trade and Industry.
In the final quarter of 2005, 20,461 people declared themselves bankrupt or took out an Individual Voluntary Agreement (IVA).
Broken down, there were 13,501 bankruptcies, a 10.9 per cent increase from the previous quarter and a 37.6 per cent rise from the same period in 2004.
The increases in IVAs were far more dramatic, with the 6,960 IVAs marking a year-on-year rise of 117.1 per cent.
Overall, the figures for personal insolvencies mark a 57 per cent increase from 2004 and a 15 per cent increase from the previous three months.
The rise in the number of IVAs encouragingly indicates that people are trying to find a positive solution to their debt problems, though it doesn't indicate whether more people are struggling financially.
In total, 2005 saw some 66,466 people declared insolvent.
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