January 26, 2018

Category: Financial News

More debtors opting for Individual Voluntary Arrangements

Click for larger image
The number of individual going bankrupt in the UK has been clouded by the arrival of “bankruptcy lite” – the Individual Voluntary Arrangement (IVA) - according to personal insolvency expert Mark Sands, a partner at corporate recovery and business advisory firm Quantuma.

The latest figures for 2017 released by The Insolvency Service show that while the figure for individuals opting for bankruptcy as a way out of debt was up by 10%, the number opting for IVAs was up nearly 20%.

In an IVA, the individual reschedules debts and agrees to much lower repayments. In 2017, the number resorting to IVAs hit a record of 59,220.

Mark Sands said: “The introduction of IVAs has somewhat clouded the overall statistics, but what we can determine is that there is no recent consistent trend in personal insolvency rates.

“In particular, the number of IVAs, a flexible alternative to bankruptcy which is popular with those with multiple consumer debts which they are struggling to juggle, has risen and fallen each quarter throughout 2017.

“The market for advice to consumers in debt has moved in focus from debt management plans, an informal arrangement with no debts forgiven, to IVAs where the debtor has more certainty in return for making regular payments towards their debts,” he said.

But he pointed out that even if overall personal insolvency numbers remained at the same levels in 2017, then another 100,000 people would still enter into some form of personal insolvency in 2018.

Ends (244 words)

For further information, please contact:

Andy Skinner, Managing Director, ASAP PR – 07990 978257

Or

Marie Wadeson, Head of Marketing,

Quantuma LLP, Vernon House, 23 Sicilian Avenue, London, WC1A 2QS

Tel: 07464 545678

www.quantuma.com

Notes to Editors
Quantuma LLP is a leading corporate recovery and business advisory practice delivering partner-led solutions to businesses and individuals facing financial distress with offices in London, Southampton, Marlow, Watford, Brighton, Bristol, Manchester and Birmingham.

The trackback url for this post is http://www.asap-pr.com/bblog/trackback.php/671/



Recent Articles

Former neighbourhood...
A record £44 million worth...
Leading Black Country...
Truck dealer set to expand...
REI poised to pounce and...

Categories

Business News
Andy's Columns
Financial News
Law News
News
Other News
Play
Property News
Work

Recent Articles

A record £44 million worth...
Leading Black Country...
Truck dealer set to expand...
REI poised to pounce and...
Growth prompts Godwin to... more...




Categories

Business News
Andy's Columns
Financial News
Law News
News
Other News
Play
Property News
Work


For more financial articles see our Archive

Business Event Diary