Bankruptcies in the North-East of England rose to three times the national average in the first part of 2008. This area has seen a 34% increase in the number of people being declared bankrupt compared to the national 11% increase. Sunderland saw the highest increase at 77%.

Financial services company KPMG’s reported these findings and their head of personal insolvency, Paul Bateman, said: “Consumers are seeing the cost of their mortgages increase, fuel costs continue to go up and now food prices are rising in a manner not seen for years.”

The global credit crunch is being blamed for the increase in the number of insolvencies. One Advice are able to offer a range of debt solutions which are suited to those with varying levels of debt, from debt management plans to IVAs and free bankruptcy advice.