Over 200 Scots Expected to Enter Insolvency Each Week in 2019

January 3, 2019

Scots are expected to be declared insolvent at a rate of around 230 per week over the course of the coming year.

That’s according to assessments of the latest figures on the subject which paint a worrying picture of the personal finance and debt situations of a great many Scottish consumers.

The number of personal insolvency cases recorded across Scotland over the course of 2018 reached 12,000, with 7,000 of those being cases in which people voluntarily entered a protected trust deed.

That figure is the highest for a full calendar year since 2013 and experts are concerned that any deterioration in the state of the economy this year could see a significant surge in personal insolvency cases.


French Duncan, the accountancy firm, has said that stagnating wage growth, along with rising household bills and food costs, helped push thousands of Scots into insolvency last year.

Eileen Blackburn, the firm’s head of debt advice, has said that there are clearly many people in Scotland currently living in a precarious financial position despite the fact that interest rates have been maintained at historically low levels for over a decade.

“Although employment levels are extremely high, and many individuals will have the lowest mortgage interest of their life, it is clear that for thousands of Scots there is an underlying indebtedness which they are unable to address,” Ms Blackburn has said.

“They may have acquired this debt over a period many years but cannot do anything but pay the monthly interest.”

For a lot of indebted Scots any change in circumstances, such as a divorce or the loss of an income, can quickly result in a debt situation becoming unsustainable and insolvency becoming unavoidable.

The number of Scots entering voluntarily into a protected trust deed as a form of insolvency increased by around 20 per cent last year, according to the latest figures.

If you would like to find out more about your options if you’re worried about your personal debts then Scotland Debt Solutions can help. Contact us directly to arrange a free and confidential consultation.

John Baird

Insolvency Adviser

Tel: 0800 063 9250

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