Bankruptcy levels fall in England and Wales

Fewer people in England and Wales are being declared bankrupt according to a report by the Ministry of Justice, it has been reported by the BBC.

There was a 15 per cent fall in one particular sort of bankruptcy petition in the countries during the first quarter of 2008 from the same time last year.

However, there was a rise in the number of people who went bankrupt from the last three months of 2007.

Mike Gerrard, a personal insolvency partner at Grant Thornton, forecasted that the number of people in England and Wales who would be declared bankrupt would go up this year due to the rising cost of food and household bills.

Mr Gerrard commented: "This shows a trend that cannot be ignored."

There is to be a seven per cent drop in the price of houses in the UK over the next 12 months according to the Council of Mortgage Lenders.