Personal insolvencies and debt

Anyone wishing to access free, confidential and independent advice on dealing with debt problems should go to the Gov.uk website.

The personal insolvencies figures show the number of people who are experiencing difficulties in repaying or are unable to pay debts and have entered into a debt relief procedure that is registered with the Insolvency Service.

Individual insolvencies are calculated as the combined total of bankruptcy orders, individual voluntary arrangements (IVAs) and debt relief orders (DROs). The insolvency rate is calculated as the number of individual insolvencies per 10,000 adults.

The latest figures are for 2024.

Key figures

• There were 2,822 individual insolvencies in Lancashire-12, giving an insolvency rate of 27.3 (England = 24.0).
• There were 3,769 individual insolvencies in Lancashire-14, giving an insolvency rate of 29.7.
• The highest insolvency rates were in Blackpool (49.5), Burnley (38.2), and Rossendale (33.9). The lowest rate was in Ribble Valley (13.1).
• Individual voluntary agreements accounted for 58.8% of individual insolvencies in Lancashire-12 (England = 56.9%).
• The insolvency rates in Lancashire-12 were higher than England for all age groups apart from those over 55. Those aged 35 to 44 had the highest rate in Lancashire-12 of 54.4 (England = 44.1), followed by those aged 25 to 34, with a rate of 53.1 (England = 37.4).
• In Lancashire-12, the insolvency rate was higher amongst females (30.3) than males (24.1). This was similar to the national picture (females in England = 25.9, males in England = 21.8).
• Compared to 2023, the insolvency rate in Lancashire-12 increased by 16.3% (England = 12.9%).

Source: Individual insolvencies by location, age and gender, England and Wales, from the Insolvency Service, via LG Inform Plus.

Things to know about the data

The Insolvency Service publishes the official statistics for the number of individual insolvencies in England and Wales registered annually, broken down by location, age and gender in March of each year. Individual insolvencies are sum total of bankruptcy orders, individual voluntary arrangements (IVAs) and debt relief orders (DROs), with these figures sourced from the Insolvency Service Case Information System (ISCIS).

Rates per 10,000 adults (aged 18 and over) are calculated using the mid-year population estimate for the respective year.

Types of insolvency

Bankruptcy orders are a form of debt relief available for anyone who is unable to pay their debts. Under a bankruptcy order, a person's assets will be sold and the proceeds distributed to creditors. Most debts covered by a bankruptcy order are usually written off (discharged) after 12 months.

Debt relief orders (DRO) are a form of debt relief available to those who have a low income, low assets and do not owe more than the threshold value (£50,000 since 2024). A DRO freezes debt repayments and interest, with debts covered by the DRO written off after 12 months if the person's circumstances do not improve provided they have followed the conditions of the DRO.

Individual voluntary arrangements (IVA) are a means of repaying creditors some or all of what they are owed. Under an IVA, a person can enter into a supervised agreement to make reduced repayments over a fixed period of time, with outstanding debts covered by the IVA written off after this period provided they have followed the conditions of the IVA.

Page updated 12 December 2025