Differences in debt - insolvency figures per region

16 July 2010

Today, personal insolvency levels are at a record high as people struggle to cope with record levels of personal debt and the many problems caused by the financial crisis.

As the BBC reports, the Insolvency Service has published figures showing how many people entered personal insolvency (bankruptcy, an IVA (Individual Voluntary Arrangement) or a DRO (Debt Relief Order)) in different regions last year.

The figures were highest in the North East of England, where 38.1 people per 10,000 adults were declared insolvent in 2009. The lowest rate was in London, where 19.6 adults per 10,000 did this. Across England and Wales, the average was 31.1 per 10,000.

The reasons for the differences? Steven Law, President of insolvency trade body R3 said: "Prior to the recession, the North East had a higher than average unemployment rate and the region`s construction industry was badly hit during the economic downturn so it is understandable that personal insolvencies are more common there."

---

Gregory Pennington offer debt advice and debt management plans, as well as a range of other debt solutions. If you are worried about debt, contact one of our expert debt advisers now.

Top of page

Gregory Pennington is a member of DEMSA whose code of conduct is approved by the Office of Fair Trading.