October 5th 2010 – THE UK’s coastal towns and cities have the highest proportion of personal bankruptcies for the second year in a row.
A table of the top 50 bankruptcy hotspots in the UK has been released by accounting firm Wilkins Kennedy this week and places Hull, Blackpool, Plymouth and Eastbourne in the top rankings.
The findings add to research by insolvency trade body R3 which found nearly half of Britons run out of money within 20 days of being paid and 40% of British adults are struggling financially to get through the month.
“Bankruptcy is nothing new but it does appear to be gaining its fair share of the headlines,” says John Fairhurst, Managing Director at Payplan, one of the UK’s free leading debt solution providers.
Mr Fairhurst predicts numbers of people declaring themselves bankrupt could rise over the next six months as outside influences hit some people’s personal finances.
“One in five people work within the public sector,” adds Mr Fairhurst. “Government cutbacks, due to be announced in less than three weeks time, will inevitably lead to job losses and for some this will mean financial trouble.”
Bankruptcy information and bankruptcy help is available from free national debt organisations such as Payplan and won’t cost consumers a penny – not even to make the call. The local Citizens Advice Bureau and the National Debtline will also provide free and impartial information.
“The secret is to nip a financial issue in the bud, the longer it is left, the bigger it becomes,” adds Mr Fairhurst.
Bankruptcy debts and bankruptcy declarations, Individual Voluntary Arrangements (IVAs) and Debt Management Plans (DMP) are all vehicles to help consumers become debt free again.
Mr Fairhurst adds: “Despite all the headlines, bankruptcy is still regarded largely as a taboo subject which people prefer not to talk about. But debt issues and experiencing financial problems can be stressful. Talking it through with friends, family or colleagues may not be easy. Providers such as ourselves or the Citizens Advice Bureau or National Debtline are impartial and non-judgemental – it’s our job to find a realistic solution that is right for each client.”
Note to editors
• Payplan was established in 1993 and is one of the UK’s leading providers of free debt solutions. Its award-winning service helps over 100,000 people in financial difficulties every year. With no fees to pay, it is a first choice for people wanting help with budgeting, loans and credit card bills, repossessions and mortgage arrears.
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