There are over 9 million people throughout the UK that are thought to be in what is considered serious debt and the average level of debt is projected to reach £10,000 per household by the end of 2016. There were almost 19,000 individual insolvencies recorded throughout England and Wales in quarter 2 of this year, consisting of nearly 4000 bankruptcies, 6000 Debt Relief Orders and just over 9000 IVAs, which constituted 48.2% of all individual insolvencies in Quarter 2.
Although bankruptcy orders were lower than for the same period in 2014, many of these are thought to have been absorbed by the increasing popularity of Debt Relief Orders which are acting as a preventative measure against individuals falling into further debt which could necessitate bankruptcy. Debt Relief Orders are also set to increase in popularity following reforms in legislation to take effect as of 1st October, which are widening the criteria for the use of this measure (see here: http://focusinsolvencygroup.co.uk/reforms-in-legislation-to-take-effect-from-1st-october/ ) Figures also suggest that those in need of financial and assistance are not seeking professional advice in order to improve their situation and are regularly being visited by bailiffs and debt collection agents.
If you have a client who is experiencing or being threatened with bailiff action, Focus Insolvency are here to help. We specialise in recovery solutions and are keen to help individuals and businesses get back on their feet, helping with debt consolidation, preventing bailiff and debt collection agent action and allow individuals to get on with their lives without worry and companies to continue trading.
Click HERE to view our guide on how to handle bailiff action