CCR Magazine

CCRi banner ad
You are here  :Home arrow News arrow RSM predicts sharp jump in Debt Relief Orders
Contact Us Newsletter Signup RSS Feeds

Latest News Headlines

Headlines

 
Commercial Credit News

Headlines

 
RSM predicts sharp jump in Debt Relief Orders PDF Print E-mail
Thursday, 28 January 2016

RSM is predicting that for the fourth quarter of 2015, the number of Debt Relief Orders (DROs) will have risen by 16% compared to the previous quarter.


The data from RSM’s Tracker service, its online early warning system, suggests that the Insolvency Service will announce on 29th January that there were around 20,000 personal insolvencies in England and Wales in the final quarter of 2015.

The forecasted figures also suggest a decrease in bankruptcies to around 3,500, and around 10,000 Individual Voluntary Arrangements (IVAs).

That would make a total number of personal insolvencies of 80,000 for 2015. RSM is predicting that the steady decline, seen since numbers peaked in 2010, will continue into 2016 with a further reduction in overall numbers, to between 70,000 and 75,000, the lowest since 2005.

Mark Sands, Personal Insolvency Partner at RSM said: ‘Our data suggests a sharp increase in Debt Relief Orders for the fourth quarter of 2015 and we can attribute this to changes in the law which came into play on 1st October last year.

‘Instead of being eligible to people with personal debts of no more than £15,000, and having assets worth less than £300, you can now enter a DRO if you are in up to £20,000 worth of personal debt, and have less than £1,000 worth of personal assets. These changes have opened up the criteria for those having problems repaying their debts to enter into a DRO instead of taking the more severe option of bankruptcy or continuing to struggle with debts they simply cannot afford to repay.

'Although we’ve seen a sharp jump in DROs, the total numbers of personal insolvencies remain largely the same, with a steady downward trend year on year since the financial crash in 2009 and I expect we will see a continuation of that downward trend in 2016 too.’
 
CCRI
3 October - Guoman Tower Hotel, Central London 

CCRInteractive, in association with Marston Holdings , is the largest and leading one-day conference from the publishers of CCRMagazine – a truly national and international event for the credit industry.

This landmark event allows delegates to: Learn best practice of how to increase profitable sales in today’s economy. Understand the key compliance issues and how they will impact upon you. Discuss the legislative and regulatory framework and how it will effect you. Consider the potential effects of Brexit on your business. Discover the latest innovations in the market to improve your collections. Motivate your staff to achieve ever improved results.

To book to attend in 2017, contact Stephen Kiely  or Alison Lucas. To find out more about being part of this landmark event, please contact Gary Lucas
CCRI 

 Forums International Ltd

Forums International Ltd

 Attendance at your first meeting is free of charge, and please quote reference 'CCR2016' to receive the special 10% discount off of your first annual subscription.

Find out more here.

latest issue

CCR Cover

The latest edition of CCR Magazine, the leading editorial publication in the UK credit industry, is out.

Read the latest issue online

The Credit Excellence Awards

Awards 

Tuesday 3 October - Guoman Tower Hotel, Central London


Do not miss your chance to meet and network with the Winners and Finalists at the Credit Excellence Awards, in association with Hoist Finance.


To book your place to attend, please contact Alison Lucas.


subscriptions

CCR is the premier magazine for consumer and credit professionals. It provides an independent voice to the industry, breaking major news stories and running in-depth features.

As a magazine, it works with and campaigns on behalf of the credit industry to promote its importance as a centre of potential profit and business development to the wider business world.

Subscribe to CCR Magazine

CCR World Magazine


 

Providing information and analysis for thousands of senior credit professionals worldwide, every quarter.

Find out more

GTS Media Ltd
81 Cambridge Road
Southend-on-Sea
Essex
SS1 1EP

Registered in England No: 05483197