Archive for January, 2015

2014 sees fall in insolvency and Debt Relief Orders, IVAs at record high

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Figures published today by the Insolvency Service indicate that the total number of people who became insolvent in England and Wales decreased for the fourth year in succession. This is also the lowest annual total since 2005. Good news!

The rate of insolvency also decreased with 1 in 455 adults becoming insolvent. This is the lowest rate since 2006.

However, the proportion of those in debt who chose an Individual Voluntary Arrangement (IVA) as their preferred solution, increased. Harrington Brooks IVA team, have received feedback that suggests IVAs are increasingly more popular, especially for those managing higher levels of debt, because of the more formal framework which exists around their plan. The prospect of being protected from creditors and eventually being debt free is welcoming.

Harrington Brooks IVA customers see a 5 to 6 year commitment, with a set monthly budgetary contribution as making it easier to managing their debt. It’s easier to follow and allows them to continue to run a busy life despite the adverse effect being on an IVA can have on their credit rating.

Other advantages, often quoted are that being on an IVA helps customers safeguard their property and the affects of bankruptcy, which is still perceived as carrying a social stigma.

Of course customers do sacrifice certain long term plans and any new or further commitments to spending and credit, and realise that the cost of future lending may also be increased.

The number of IVAs was at its highest level since they came in to existence in 1987. There were 52,190 IVAs in 2014, which was a 6.8% increase on 2013.

Debt Relief Orders (DROs) also fell by 3.1% compared to the year before. There were 26,688 DROs in 2014, which was a 3.1% decrease on last year. This trend may change however from 1st October 2015, with the advent of the recent announcement about changes to the thresholds and qualifying terms for DROs.

The trends around company insolvencies also following similar trends to those measuring personal insolvencies with the number of companies that fell in to administration during 2014, also falling by 24% compared to 2013.

Insolvencies in England and Wales for 2014 fell by almost 2% compared to 2013.

David Cameron and George Osborne in Manchester to announce six key headline commitments to the creation of a Northern Powerhouse

Jodi Hamilton, Head of Marketing at the One Advice Group attended a talk given by David Cameron and George Osborne given in Manchester today about the creation of a Northern Powerhouse.


Thanks to a an invitation from Greater Manchester Chamber of Commerce, today I attended a speech, by David Cameron and George Osborne, about the creation of a Northern Powerhouse.

Overall they, and it, was well received; particularly as it contained long term commitment to the creation of more jobs, better transport connections, investment in science and innovation, 25,000 new homes and a suggestion that each person would be better off by £2,000 in real terms.

Held at the iconic old Granada Studios, the site of the original Coronation Street, David Cameron and George Osborne set out their six-point long-term economic plan for the north-west, highlighting what has been delivered, what is underway and the next steps in building a northern powerhouse that enables the region to reach its potential as a driving force in the UK economy.

In short these were:

  1. The creation of 100k new jobs
  2.  £4.5bn invest in transport links across the region
  3. The North West to become a global centre for science and innovation
  4. To raise the quality of life along with the creation of 25,000 new homes
  5. To give real power to the region, using the example of Manchester’s Metro Mayor
  6. To make residents £2,000 better off in real terms*

* An £18bn real terms increase in the size of the north-west economy by 2030 to raise the long-term growth rate of the north-west to at least as high as the forecast overall UK growth rate. This is equivalent to over £2,000 per person in the north-west in real terms

In their speech, the Prime Minister and Chancellor showed how the north-west has seen the joint fastest growth in output per head in the UK in 2013 and that there are more people in work in the region than at any time on record, with an average of 200 more people in employment per day over the past year.

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"Rebalancing our national economy, ensuring that the economic future of the north is as bright, if not brighter, than other parts of the UK, is the ambition we should set ourselves. We achieve that not by pulling down our capital city, or diminishing its success. Having one of the greatest global cities on earth, located two hundred miles to our south, should be an asset, not a weakness”.

If it happens as they say it will, it’s great news for the long term future if The One Advice Group, its staff and customers.

Read the full story here:

www.gov.uk/government/news/long-term-economic-plan-for-the-north-west-set-out-by-prime-minister-and-chancellor

Jodi