Posted by admin - July 30, 2014 11:23 am Personal Insolvencies are on the increase

Government figures show the steepest rise in four years in personal insolvency. A total of 27,029 people in England and Wales became insolvent between April and June, an increase of 5.1% on the same period in 2013. The larger part of the increase was due to 14,571 Individual Voluntary Arrangements (IVA’s) a rise of 20%.

The number of insolvencies peaked in 2009, at more than 35,000, and has declined since then.

The number of companies going out of business, however, is continuing to fall with voluntary liquidations down by 18% over the year, to their lowest level since 2008.

It is worrying to see such a rise in these figures, particularly as it is likely that a rise in interest rates could be the final straw for the budgets of many households and will push these figures up even further.