The July to September 2022 (Q3) individual insolvency stats for England and Wales have been published by The Insolvency Service, together with related figures for Scotland and Northern Ireland.

Individual insolvency statistics for England and Wales – Q3 2022

In Q3 2022, there were a total of 27,927 individual insolvencies, including:

• 20,635 individual voluntary arrangements (IVAs)
• 5,579 debt relief orders (DROs)
• 1,713 bankruptcies

Total individual insolvencies in Q3 2022 decreased by 5% from Q2 2022, but increased by 2% when compared to Q3 2021. This was driven primarily by the number of IVAs registered which decreased by 6% when compared to Q2 2022.

However, The Insolvency Service urge caution when interpreting IVA numbers as they are counted once they are registered with the Insolvency Service by licensed insolvency practitioners and there can be a time lag between the date on which the IVA is accepted and the date of registration.

Bankruptcies in Q3 2022 consisted of:

• 1,433 debtors’ applications
• 291 creditors’ petitions

The numbers of debtors’ applications and creditors’ petitions were both amongst the lowest seen since 1998 when data on petition type started to be captured.

The number of DROs in Q3 2022 decreased by 5% from the previous quarter and were also 3% lower when compared to the same quarter last year.

Breathing Space Registrations

There were 18,347 breathing space registrations in Q3 2022. These comprised of:

• 18,050 standard breathing space registrations
• 297 mental health crisis breathing space registrations (for those receiving mental health crisis treatment)

Individual insolvency rate statistics for England and Wales – Q3 2022

In the 12 months ending Q3 2022:

• 1 in 405 individuals became insolvent
• the individual insolvency rate was 24.7 per 10,000 adults in England and Wales
• the individual insolvency rate was higher when compared to the 12 months ending Q2 2022 and Q3 2021

Unlike the absolute number of individual insolvencies over a period, the individual insolvency rate indicates the probability of a person entering insolvency in the previous four quarters. In general, periods of economic growth result in individual insolvency rates decreasing.

Bankruptcies by self-employment status

Bankruptcies by self-employment status are presented by The Insolvency Service with a one quarter lag. This is because it can take several weeks for trading status to be recorded following the date of the bankruptcy order.

In Q2 2022, there were:

• 302 bankruptcies (seasonally adjusted) where the individual was self-employed, this was approximately the same as Q1 2022 and 31% lower than the same period last year
• 1,335 bankruptcies among other individuals in Q2 2022, a decrease of 5% compared with the previous quarter and 31% lower than the same quarter of the previous year

Both bankruptcies amongst the self-employed and other individuals remained historically low in Q2 2022.

Individual insolvency statistics for Scotland – Q3 2022

The Accountant in Bankruptcy, Scotland’s Insolvency Service, administers individual insolvency in Scotland. They reported that there were 2,069 individual insolvencies in Scotland in Q3 2022, which was 8% higher than during the same quarter of 2021.

Of the total individual insolvencies in Scotland in Q3 2022, there were:

• 589 sequestrations (of which 378 went into bankruptcy via the minimal asset process route)
• 1,480 protected trust deeds

Individual insolvency statistics for Northern Ireland – Q3 2022

In Northern Ireland in Q3 2022, there were 437 individual insolvencies. Of the total individual insolvencies, there were:

• 373 IVAs
• 18 bankruptcies
• 46 DROs

Please note, individual insolvency in Northern Ireland is governed by separate, but broadly similar, legislation to England and Wales, and so figures are presented separately.

Where can I see insolvency notices in The Gazette?

The Gazette is the primary source of both corporate insolvency and personal insolvency information in the UK and publishes this information in the form of insolvency notices, allowing transparency for the public, the credit industry and concerned individuals to quantify risk and inform creditors. You can view all corporate and personal insolvency notices on The Gazette website.

The Gazette also provides a data service which gives access to official intelligence on all UK businesses, corporate and personal insolvencies. Benefits of The Gazette’s data service include:

• Bespoke reports - tailored around your specific business
• Geo-targeted editions - available for specific geographical targeting (National, London, Belfast, Edinburgh)
• Custom filters - specific custom attributes (company number, notice type, key terms)
• Data at regular intervals - delivered at a rate to match your business needs (daily, weekly, monthly)

For more information on The Gazette’s data service, contact the team on 01603 985949 or email data@thegazette.co.uk.

Enquire now

Next insolvency statistics release

Figures for Q4 2022 will be released on 31 January 2023.

You can see all personal insolvency notices in The Gazette.

See also

Company insolvency statistics – Q3 2022

Monthly UK insolvency statistics - September 2022

UK individual insolvency statistics – Q2 2022

What you need to know about Corporate Insolvency and Governance Bill

Find out more

Individual Insolvency Statistics, July to September 2022 (GOV.UK)

The Insolvency Service (GOV.UK)

Accountant in Bankruptcy (AiB)

Image: Getty Images

Publication date: 31 October 2022