The number of people going financially insolvent across England and Wales jumped by 12% in January compared with the same month a year earlier, according to Insolvency Service figures.
Some 9,706 people entered insolvency last month, which was 3% lower than in December 2024 but 12% higher than in January 2024.
Personal insolvencies are made up of bankruptcies, debt relief orders (DROs) and individual voluntary arrangements (IVAs).
The 3,847 DROs registered in January 2025 was 82% higher than the long-term (2014 to 2023) monthly average of 2,114, although below a record high of 4,336 seen in June 2024, the Insolvency Service said.
It said that a rise in DRO numbers since April 2024 coincided with the abolition of a £90 admin fee to…
