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Threatened with bankruptcy
This week there was considerable coverage of some local authorities in England and Wales that were petitioning to have people made bankrupt due to unpaid bills. The threat of bankruptcy can be an effective means by which local authorities can force those who will not pay their council tax to settle the debt.
Although this only happened in a small amount of cases, bankruptcy, or other forms of insolvency such as an Individual Voluntary Arrangement (IVA) or a Debt Relief Order (DRO) are options available to people who find themselves saddled with unmanageable debt that they don't think they can repay.
Declaring yourself insolvent is a very big step though and if you're feeling like you're drowning in debt it is important to seek free advice – the Consumer Credit Counselling Service (CCCS) can be contacted on 0800 138 1111.
Credit Action also has a Moneymanual on 'Dealing with Debt' which also includes a specific section on debt recovery procedures that individuals can encounter and how to cope with them. The Moneymanual can be read online or downloaded in PDF format here.
Here is a review of the other top money stories of the past week commencing the 7th September 2009.
Tuesday 8th September
Manufacturing picks up - The Office for National Statistics (ONS) released its latest figures on the state of the manufacturing sector in the UK this week and it showed good results for the manufacturing industry. Factory output increased by 0.9% from June this year, which has mainly been attributed to an increase in the number of cars made. This is good news for the sector as they had previously seen a decrease in output.
Repossession hotspots highlighted – The government have announced that there are certain areas of the UK where residents are more likely to have their home repossessed. The North-West and the West Midlands were the areas identified as being the repossession hotspots. If you are worried about repossession it is vital to seek advice as soon as possible. Speak to your lender, but also seek advice from your local Citizens Advice Bureau or call the Consumer Credit Counselling Service on 0800 138 1111.
Although this only happened in a small amount of cases, bankruptcy, or other forms of insolvency such as an Individual Voluntary Arrangement (IVA) or a Debt Relief Order (DRO) are options available to people who find themselves saddled with unmanageable debt that they don't think they can repay.
Declaring yourself insolvent is a very big step though and if you're feeling like you're drowning in debt it is important to seek free advice – the Consumer Credit Counselling Service (CCCS) can be contacted on 0800 138 1111.
Credit Action also has a Moneymanual on 'Dealing with Debt' which also includes a specific section on debt recovery procedures that individuals can encounter and how to cope with them. The Moneymanual can be read online or downloaded in PDF format here.
Here is a review of the other top money stories of the past week commencing the 7th September 2009.
Tuesday 8th September
Manufacturing picks up - The Office for National Statistics (ONS) released its latest figures on the state of the manufacturing sector in the UK this week and it showed good results for the manufacturing industry. Factory output increased by 0.9% from June this year, which has mainly been attributed to an increase in the number of cars made. This is good news for the sector as they had previously seen a decrease in output.
Repossession hotspots highlighted – The government have announced that there are certain areas of the UK where residents are more likely to have their home repossessed. The North-West and the West Midlands were the areas identified as being the repossession hotspots. If you are worried about repossession it is vital to seek advice as soon as possible. Speak to your lender, but also seek advice from your local Citizens Advice Bureau or call the Consumer Credit Counselling Service on 0800 138 1111.
Wednesday 9th September
Positive news for the UK jobs market – A survey of recruitment agencies has suggested that the UK jobs market is starting to show signs of recovery. According to research produced by Markit Economics figures showed small increases in the appointment of both permanent and temporary positions last month. The well-regarded survey also found that the decline in the number of employment opportunities is easing. KPMG, a co-sponsor of the survey, said the results are encouraging as they reflect the first positive news in the sector for almost 18 months. However the report also warned that it was far too early to suggest that these figures signalled an end to the recession and with the latest jobless figures indicating that the number of people out of work in the UK has risen to its highest level since 1995 it would appear that there is a long way to go yet. The unemployment rate reached 7.8% in June, according to the BBC, while youth unemployment is a growing problem with almost 20% of 16-24 year olds out of work.
Positive news for the UK jobs market – A survey of recruitment agencies has suggested that the UK jobs market is starting to show signs of recovery. According to research produced by Markit Economics figures showed small increases in the appointment of both permanent and temporary positions last month. The well-regarded survey also found that the decline in the number of employment opportunities is easing. KPMG, a co-sponsor of the survey, said the results are encouraging as they reflect the first positive news in the sector for almost 18 months. However the report also warned that it was far too early to suggest that these figures signalled an end to the recession and with the latest jobless figures indicating that the number of people out of work in the UK has risen to its highest level since 1995 it would appear that there is a long way to go yet. The unemployment rate reached 7.8% in June, according to the BBC, while youth unemployment is a growing problem with almost 20% of 16-24 year olds out of work.
Thursday 10th September
House prices rise – The Halifax have released their latest data on the housing market, and have revealed that house prices grew by 0.8% August this year. Although this has been perceived as a positive sign in the housing market, commentators have cautioned against too much optimism as activity in the housing market is less than half of the level that was seen in mid-2007. Many first time buyers are still finding it difficult to secure a mortgage as to secure the best mortgage deals lenders typically require high deposits.
Interest rates remain the same – The Monetary Policy Committee at the Bank of England met today and decided to leave interest rates at 0.5%. Interest rates have now been unchanged for six months and it is thought that this decision was a wise move by the Bank. Although there have been some signs that the UK economy is picking up, the economy isn't out of recession yet, and as inflation is still below the Bank's target, interest rates look like they will remain low for a few more months.
House prices rise – The Halifax have released their latest data on the housing market, and have revealed that house prices grew by 0.8% August this year. Although this has been perceived as a positive sign in the housing market, commentators have cautioned against too much optimism as activity in the housing market is less than half of the level that was seen in mid-2007. Many first time buyers are still finding it difficult to secure a mortgage as to secure the best mortgage deals lenders typically require high deposits.
Interest rates remain the same – The Monetary Policy Committee at the Bank of England met today and decided to leave interest rates at 0.5%. Interest rates have now been unchanged for six months and it is thought that this decision was a wise move by the Bank. Although there have been some signs that the UK economy is picking up, the economy isn't out of recession yet, and as inflation is still below the Bank's target, interest rates look like they will remain low for a few more months.
Friday 11th September
Household wealth falls – UK households saw their wealth drop by an average of almost £31,000 each last year according to calculations produced by Halifax. The figures were based on official data from the Office for National Statistics (ONS) and the Bank of England. The credit crunch, rising unemployment and falling house prices have had the worst effect on household wealth since the recession began, and falling share prices have also dented financial wealth. If you are feeling the effects of the credit crunch, have experienced a drop in income or you are worried about your job it makes sense to get in control of your financial situation. The moneybasics Budget Planner can help you clearly see your incomings and outgoings which will hopefully help you to feel more in control of your finances.
Household wealth falls – UK households saw their wealth drop by an average of almost £31,000 each last year according to calculations produced by Halifax. The figures were based on official data from the Office for National Statistics (ONS) and the Bank of England. The credit crunch, rising unemployment and falling house prices have had the worst effect on household wealth since the recession began, and falling share prices have also dented financial wealth. If you are feeling the effects of the credit crunch, have experienced a drop in income or you are worried about your job it makes sense to get in control of your financial situation. The moneybasics Budget Planner can help you clearly see your incomings and outgoings which will hopefully help you to feel more in control of your finances.
