RECORD INSOLVENCIES FUELLED BY SPIRALLING PERSONAL DEBT
More people are going broke than at any time since records began in 1960. Bankruptcies have soared to an all-time high of 40,840 in the past year - a 28 per cent rise on the previous year and nearly 112 a day. Warning the crisis could worsen, debt expert Steve Treharne of KPMG accountants said: "We have a major consumer debt problem. If current trends continue, we could see annual bankruptcy rates at double the present level before there is any improvement. People have too many credit cards and there's too much debt in the system." Individual bankruptcies surged 36 per cent to 12,338 in the last three months, official figures showed yesterday. In addition 3,229 firms went bust, a 45 per cent jump.