Personal insolvencies surge as debt crisis worsens in England and Wales

In February 2025, England and Wales experienced a significant rise in personal insolvencies, marking a 4% increase compared to January. This surge resulted in 10,147 individuals entering insolvency, with 600 bankruptcies, 3,865 debt relief orders (DROs), and 5,682 individual voluntary arrangements (IVAs). Notably, DROs have reached record-high monthly levels since the removal of the £90 fee in April 2024, with February's figures 72% above the long-term monthly average from 2015 to 2024. While the number of IVAs remained consistent with the previous year, bankruptcies were reported to be 10% lower than in February of the prior year.