Recent Government figures have revealed a ninth consecutive quarterly rise in personal insolvencies. This takes them to the highest rate since records began.

35,682 people entered into personal insolvency in the first three months of 2010, a near 18% rise on the same period last year, as consumers continued to struggle with personal debt, despite the UK economy starting to recover.

This figure includes over 18,000 bankruptcies and nearly 12,000 IVAs.

Falling incomes during the recession is one reason why so many people are struggling to make ends meet, and with tax rises and public spending cuts on the way to ease the country’s debt burden the worst may still be to come.

People struggling with debt should seek professional debt advice sooner rather than later. Options such as a debt management plan can then be considered before insolvency becomes necessary.

Categories: Debt, Economy, General