Hull The Debt Capital of the UK

Hull The Debt Capital of the UK

By 13th October 2021News
Debt News

Hull The Debt Capital of the UK

Figures in a new report from the Insolvency Service show that there are more people in debt in Hull (or Kingston upon Hull) than anywhere else in the UK. The figures show that there are 44.6 insolvent people per 10,000 – this almost DOUBLE the national average of 23.7.

Now this doesn’t sound that many, ‘just’ 898 people in the whole of Hull, however, this just scratches the surface of the actual debt problem in Hull. These 898 people are just a small percentage of those struggling to repay their debts – thought to be around one-in-seven. These people, are not (yet) classed as insolvent, and still have options available to them to get themselves out of debt – no matter how difficult it may seem at the time.

Charities now fear the figure will only rise as living costs increase and the Government plans to cut the extra £20 a week for people on Universal Credit.

According to the Insolvency Service, the fall in last year’s figures is “likely to be partly driven by enhanced Government financial support measures put in place to support individuals during the Covid-19 pandemic”.

However, many of these are coming to an end – such as furlough and a £20 boost to Universal Credit.

Soaring energy bills are also set to hit families in the pocket, while a shortage of lorry drivers and more regulatory checks on imports have contributed to rising prices for food and fuel.

A spokesperson for insolvency trade body R3 said: “Government initiatives like the furlough scheme, coupled with payment holidays from banks and other lenders, have also provided a critical safety net for many, but these are now in the process of being withdrawn.”

They added: “There was some good news for people in debt with the introduction of the breathing space scheme earlier this year, which offers people a chance to talk to a debt adviser about their options, free from creditor pressure.

“Over 20,000 people have made use of the scheme so far, and this number is likely to increase significantly in the months ahead.

“We cannot overstate how important it is for anyone with money worries to speak to a reputable and professional source as soon as they can, as debt problems only get worse as time goes on.”

Struggling With Debt In Hull?

If you ARE one of the many thousands struggling to repay their debts, then contact our friendly team of advisers now for no-obligation help and advice.