Personal Insolvencies have reached their lowest point in ten years according to official figures released by the insolvency service.
2015 saw 79,965 declared insolvent. This figure was 19% less than the total amount of individuals declared insolvent for 2014 signalling a 5th year of decreasing figures and totalling the lowest number of annual insolvencies for 10 years.
Companies declaring themselves insolvent in 2015 also fell too. A ten per cent decrease saw the annual figure fall to 14,629 which is the lowest figure recorded since 1989 which is extremely positive.
Industry experts claims that companies are dealing with their debts much quicker now and are also quick to recognise the signs of a creditor in distress.
In respect of personal insolvencies, Debt Collection Agencies are now required to work with consumer debtors to manage an effective repayment scheme as opposed to an ‘all or nothing’ scenario.
This news makes for great reading for the British Economy and supports the governments claim that the economy is still slowly improving from the recession.