Over 135,000 individuals were declared insolvent in the UK last year, up from 2009.
The Insolvency Service released figures this week showing a rise of 0.7 per cent in individuals applying for insolvency in England and Wales.
Financial experts KPMG are quoted on the Independent website estimating creditors are losing £20 million a day from UK insolvencies.
The actual number of people in 2010 who went bankrupt was 135,089, compared to 134,142 two years previous.
The trend is showing signs of abating however. From October to the end of 2010, there were 9.4 per cent less cases of insolvency compared to the quarter before (July to September 2010).
The government is set to make big cuts across public spending, unemployment figures are set to rise, and debt levels are rising.
Furthermore, job losses and spending cuts are going to hit organisations such as Citizens Advice Bureau and the legal aid budget.
What is the real outlook for 2011?
Are you worried about going bankrupt?
Have solicitors helped you avoid or deal with bankruptcy?
Bankruptcies down, but worries persist for 2011 (Independent)
Learn more about bankruptcy law (Findlaw.co.uk)
More about debt consolidation and advice (Findlaw.co.uk)
Ask a question in the Findlaw Forum
Find a solicitor in the UK