We are currently experiencing technical difficulties with our telephone system.
We apologise for any inconvenience and are working to resolve this as soon as possible.
Secured Loans > Number of bankruptcies at lowest figure for ten years

Number of bankruptcies at lowest figure for ten years

8th August 2015 | Published by Evolution Money

Bankruptcy-250x199The number of UK citizens declared insolvent is lower than it has been for ten years, according to figures released by the Insolvency Service.

18,866 people were declared insolvent during the second quarter of this year in England and Wales, 29.3 per cent less than during the same period in 2014 and the lowest figure since July to September 2005, nearly ten years previously.

The Insolvency Service also reported that the number of companies going bankrupt is at its lowest rate for over seven years. A total of 3,908 businesses failed between April and June of this year, the smallest number since the last quarter of 2007.

Financial experts declared that the drop in insolvency figures is due to the strengthening economy and recent real term increases in salaries.

Philip Sykes, president of insolvency trade body, R3, said that now that wages are rising faster than inflation once more, people are in a better position to pay off their debts without having to declare themselves insolvent.

The drop in personal insolvencies has been welcomed by the organisation that runs the National Debtline, the Money Advice Trust, MAT. However, it expressed concern that the recent cuts to tax credits will push some households further into debt, forcing them to turn to expensive credit providers to boost their budgets.

The number of people borrowing a mortgage to buy a home rose during June, when 66,582 new mortgages were taken out, just 1,469 fewer than in April, the most recent peak month.

Lending to businesses fell, however, by as much as £5.5 billion, raising serious concerns about economic investment, according to Howard Archer, chief economist at IHS Global Insight.

The Office for Budget Responsibility has predicted that household debt will increase to 169 per cent of household income within the next five years.

Category: Money
This post was written by Evolution Money
Warning: Late payment can cause you serious money problems. For help, go to moneyhelper.org.uk
Representative 28.96% APRC (Variable) - For a typical loan of £20,950 over 85 months with a variable interest rate of 23.00% per annum, your monthly repayments would be £537.44. Including a Product Fee of £2,095.00 (10% of the loan amount) and a Lending Fee of £714.00, the total amount repayable is £45,682.15. Annual Interest Rates ranging from 11.7% to 46.5% (variable). Maximum 50.00% APRC. The loan must be paid back by your 70th birthday. Read more.

Think carefully before securing debts against your home your home may be repossessed if you do not keep up repayments on your mortgage or any other loan secured against it. If you are thinking of consolidating existing borrowing, you should be aware that you may be extending the terms of the debt and increasing the total amount you repay.
© 2024 Evolution Money | Cookies | Terms & Conditions | Fair Processing Notice
Start Here
Please wait

Please wait

Don't leave just yet!

Evolution Money are a multi Award Winning UK finance company with thousands of happy customers!

Award Winning

Our friendly loan advisors can let you know if you're eligible for a loan without affecting your credit score. Why not give us a call today!

Freephone 0800 144 8188

Back to Evolution