Baines & Ernst

February 18, 2010 10:19 ET

Record Numbers Declared Insolvent in the UK, Report Baines & Ernst

MANCHESTER, UNITED KINGDOM--(Marketwire - Feb. 18, 2010) - Following the news that record numbers of people are being declared insolvent in the UK, Baines & Ernst are today advising people to seek help with managing their debts.

Figures released on 5th February 2010 by the Government's Insolvency Service for the last quarter of 2009 show that insolvency levels increased for the eighth consecutive quarter, bringing levels to their highest since records began in 1960.

In the year just gone 134,142 people entered into personal insolvency, suggesting that even though the UK economy is emerging from recession, UK consumers continue to struggle with personal debt.

However, there are signs that larger numbers of people entering insolvency are seeking ways of managing their debts. The last quarter saw bankruptcies - the most severe way of escaping debt - fall by 5.5% on last year's figure, while the number of more flexible Individual Voluntary Arrangements (IVAs) increased by 26.3%.

A spokesperson for Baines & Ernst, Nick Pearson, commented "These statistics do make for worrying reading, but it is important to note the positive steps people are taking to resolve their debt issues, such as the increase in IVAs and other debt management solutions."

"Some people who find themselves struggling with debt view it as a deeply personal matter and attempt to resolve it on their own, which often results in more debt accumulating and the problem not being properly addressed. The best way to tackle any overwhelming debts is to be open about them and seek assistance from a debt management company such as Baines & Ernst who have a team of experts on hand to offer debt help to suit your needs."

About Baines & Ernst

For over a decade, Baines & Ernst has been working to help people to live a life free from debt. With Debt Management Plans (DMPs) we have helped tens of thousands of people change their lives. The DMP is an informal arrangement between your client and their creditors, and we will use our unrivalled experience to negotiate the best deal for your clients. http://www.bainesandernst.co.uk/.

Contact Information

  • Paymex Group
    Nick Pearson
    Director of External Affairs
    0161 216 8107