UK households have one of the highest debt levels in the world. Steadily increasing in the last two decades, the average total debt per household (including mortgages) is 65,619 as of August 2023. This is 34,644 per adult, or around 103.5% of average earnings.
As indebtedness has steadily increased over the last two decades, household bankruptcies have quadrupled, reaching around 200,000 filings in 2022. One of the main reasons of this increase is arguably the 2002 UK bankruptcy reform, which made it easier for people to file for bankruptcy.
Consumer bankruptcies are rising in the UK
While the use of some types of debt relief agreements have fallen in the year to August 2023, according to the latest government f…
Read the full article at: https://theconversation.com/bankruptcy-is-spiking-among-uk-borrowers-but-there-are-debt-relief-options-if-you-are-struggling-financially-213413