The Department of Trade and Industry today revealed insolvencies were down 5% on last quarter and 7.3% on the same period last year.
But as the Halifax bank announced house prices rose by another 0.7% last month, the high price of housing, particularly in London and the South East led PricewaterhouseCoopers partner Patrick Boyden to warn that bankruptcies will rise again.
He said: ‘Higher house prices require larger deposits which many people struggle to find.
‘First-time buyers are in a particularly awkward spot. They are desperate to move onto the property ladder before prices rise still further and so might buy before they can really afford it.
‘It’s tempting to borrow money for a deposit even if this breaks mortgage conditions, but this could mean problems in the future.’
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements