Latest Insolvency Statistics - 3rd quarter 2011

fermi

They will be released at 09:30.

http://www.insolvencydirect.bis.gov.uk/otherinformation/statistics/insolvency-statistics.htm

INDIVIDUAL INSOLVENCIES

There were 30,219 individual insolvencies in England and Wales in the third quarter of 2011. This was a decrease of 11.0% on the same period a year ago.

This was made up of 9,567 bankruptcies (which were down 31.2% on the corresponding quarter of the previous year), 13,048 Individual Voluntary Arrangements (IVAs), (which were up 0.7% on the corresponding quarter of the previous year) and 7,604 Debt Relief Orders (DROs), (which were up 7.6% on the corresponding quarter of the previous year and represent the highest quarterly total since their introduction). In April 2011 a change was introduced to Debt Relief Order legislation to allow those who have built up value in a pension scheme to apply for debt relief under these provisions; this will have increased the overall numbers of those eligible to apply for a Debt Relief Order, and is also expected to have had some impact on the numbers of bankruptcy orders.



In the third quarter of 2011, 79.0% of bankruptcies were made on the petition of the debtor, down from 83.0% in the previous quarter. The percentage of bankruptcy orders involving trading debts (self-employed bankruptcies) was 20.3% in the second quarter of 2011 (third quarter 2011 figures for trading-related bankruptcies are not yet available), similar to the previous quarter, but noticeably higher than three to four years ago. The falling total number of bankruptcies since 2009 is mainly due to lower numbers of consumer bankruptcy cases, which will have been more directly impacted by the introduction of DROs in April 2009.

fatbelly

There were 30,219 individual insolvencies in England and Wales in the third quarter of 2011. This was a decrease of 11.0% on the same period a year ago.

This was made up of 9,567 bankruptcies (which were down 31.2% on the corresponding quarter of the previous year), 13,048 Individual Voluntary Arrangements (IVAs), (which were up 0.7% on the corresponding quarter of the previous year) and 7,604 Debt Relief Orders (DROs), (which were up 7.6% on the corresponding quarter of the previous year and represent the highest quarterly total since their introduction). In April 2011 a change was introduced to Debt Relief Order legislation to allow those who have built up value in a pension scheme to apply for debt relief under these provisions; this will have increased the overall numbers of those eligible to apply for a Debt Relief Order, and is also expected to have had some impact on the numbers of bankruptcy orders.

I don't think the pension rule change to DROs will have had much of an effect. I suspect what is going on here is a progressively increasing awareness of DROs, combined with increasing unattractivenesss of banruptcy with its rapidly increasing fees and harsher IPA/IPO rules.

fermi

Info now updated.

Sorry about the wide table.

dojoman

Thanks for the up Fermi, much appreciated:)