Record number of 55,000 declare themselves bankrupt last year

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

Record numbers declared themselves bankrupt last year in the latest sign of the credit crunch taking grip, government figures have revealed.

Nearly 55,000 in England and Wales took the drastic action after being unable to keep up with debt repayments.

The figure was up 44 per cent on 2005, and almost double the number who sought bankruptcy in 2004.

The Ministry of Justice said that 53,114 people asked to go bankrupt in 2007, up from 52,717 in 2006.

Wales saw the biggest jump, with a rise of 8 per cent, followed by the North-West, where bankruptcies rose by 6 per cent.

Experts believe the number petitioning the courts for bankruptcy will soar again this year.

Mark Sands, director of personal insolvency at KPMG, said: "Too many people have borrowings that they have no realistic hope of repaying."

Liberal Democrat Treasury spokesman Vince Cable said: "It is critical that we act now to find ways to help those in severe financial difficulties so an economic slowdown doesn't turn into a crash."

Another survey, by Friends Provident, revealed that twothirds of Britons will tighten their belts this year because of the credit crunch.