Despite the constant growth in insolvency, there may be some light at the end of the tunnel. While the latest report from the Insolvency Service shows that the amount of IVAs lodged is now at an all time high, there may be some good news.

After consistent increases in the amount of IVAs processed each quarter, the new figures indicate the rate is actually dropping. The Insolvency Service reports the growth over the last quarter as a relatively low 7%.

The slowing rate is also thought be reflective of the toughening stance on IVAs by creditors.

There is still much concern about the amount of incorrect IVA advice being given to consumers. Mark Hover, head of The Insolvency Exchange (TIX) said, “IVAs are being used by an increasing number of lower income earners to manage their debts and for creditors it is critical to ensure that consumers are getting the best advice and service as they work to deal with their financial situation.

While the increase does seem to be settling down, there is no denying the record breaking number of insolvencies registered. Over 108,000 people in the UK are in the process of completing an IVA and over 300 people a day are choosing to become insolvent.