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Courts see sharp rise in bankruptcies

Kent's debtors are feeling the pinch - with a 16 per cent increase in personal bankruptcies in the county's courts.

That is a full five per cent higher than the national average.

New figures released today by the Ministry of Justice reveal the number of people declaring themselves bankrupt has risen in county courts across Kent.

Those petitioning for bankruptcy, as opposed to being forced into it by a creditor, rose from 369 cases in the fourth quarter of 2007 to 429 cases in the first quarter of 2008.

But Canterbury had the largest increase in the county - at 25 per cent. That equates to 184 people in the first quarter of this year, compared with 126 people in the last three months of last year.

Medway has seen a 22 per cent increase in that timescale, up from 126 to 154, with Maidstone people notching up a mere six per cent increase - from 36 to 38 cases.

Nationally the three months ending March 31 saw an increase of 11 per cent.

Mark Sands, head of personal insolvency for KPMG in the South East, said: "Consumers are faced with a barrage of bad news with no sign of a respite.

"Even with base rates starting to fall, consumers are seeing the cost of their mortgages increase, fuel costs continue to go up and now food prices are rising in a manner not seen for years."

He urged everyone in financial diffulties to take advice on all the options open to them.

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