Accountant in Bankruptcy (AiB) today released official statistics reporting personal and company insolvencies in Scotland for the first quarter (April to June 2018) of 2018-19 and final statistics for the 2017-18 financial year.
Scottish Insolvency Statistics for April to June 2018 (2018-19 Q1)
There were 3,208 personal insolvencies (bankruptcies and protected trust deeds (PTDs)) in Scotland in 2018-19 Q1, compared with 2,869 in 2017-18 Q1, an increase of 12%.
There were 1,236 bankruptcies awarded during this quarter, a 6.5% decrease on the same quarter in 2017-18. PTDs increased by 27% to 1,972 over the same period.
There were 648 DPPs approved under DAS compared with 597 in the same quarter of the previous year.
A total of £9.5 million was repaid through DAS during this quarter, compared with £9.4 million in 2017-18 Q1.
The number of Scottish registered companies becoming insolvent or entering receivership increased in the first quarter of 2018-19, with 245 companies becoming insolvent compared with 200 in 2017-18 Q1 There were 141 members’ voluntary liquidations (solvent liquidations), down on the 151 in 2017-18 Q1.
Scottish insolvency statistics in 2017-18
Final statistics show that in 2017-18 personal insolvencies in Scotland increased by 5.7% to 10,602 from 10,032 in 2016-17.
Personal insolvencies rose for the second consecutive year but remain below levels seen between 2005-06 and 2014-15.
The increase in personal insolvencies in 2017-18 was mainly due to PTDs, which increased by 8.9% on the previous year to 5,958. Bankruptcies increased by 1.8% to 4,644.
In 2017-18, there were 2,318 debt payment programmes (DPPs) approved under the Debt Arrangement Scheme (DAS), 85 more than a year earlier. In 2017-18, £37.6 million was repaid from debtors under DAS compared with £37.3 million in 2016-17.
Corporate insolvencies increased from 846 in 2016-17 to 884 in 2017-18.