After Japan, the UK has the highest debt-to-GDP ratio in the entire world. With so much debt compared to so little profit is it any wonder that so many UK citizens now require IVA debt help? Our GPD (Gross Domestic Product) is exceeded by debt by an enormous 507%. To put this in context in 2003, before the financial crisis hit, the ratio stood at 300%. The only country in the world with a higher debt-to-GDP ratio than the UK is Japan who have 512% more debt than GDP.
When it comes to IVA debt help this is not a good sign. The lower a country’s GDP and the higher its debt, the more personal debt and financial insecurity in the country. The scary fact is that when GDP is low, jobs become scarce and the economy fails to flourish. If debt rises at the same time, more and more people will find it extremely hard to repay debts or even prevent them from mounting.
This is how the debt spiral begins. A financial stumbling block like the loss of a job (this may have been triggered by a low GDP in a country), followed by the need for a loan which then requires further loans and more credit to handle – plunging you deep into worsening debt. The only way to deal with this situation is to address the problem head on and get help. IVA debt help is one form of debt management which can provide the assistance you need to work your way out of your financial problems.
The UK’s debt-to-GDP ratio is a good illustration of the financial situation in the country. It encapsulates the worrying inequality between profitability, growth and debt. If you are one of the many people affected by the current financial climate and you think you might require IVA debt help, get in touch with our expert team today. We offer IVA debt help information and advice to help you assess your options. For confidential IVA debt help call 02920 346 536 now.
If you require IVA debt help it can sometimes feel like you’ve done something wrong or have somehow failed. Although the need for IVA debt help can arise from mistakes, in many instances spiralling debts are unfortunate but inevitable. If you are feeling glum about your financial position, it may be comforting to know that others are in the same boat – and it isn’t just individual debtors.
This month the high street chain Peacocks was forced to declare insolvency and the gifts retailer Past Times was also found to be in a very dangerous financial position. Following the collapse of Woolworths and La Senza in previous years, these financial failures are terrible news for the economy and the British high street. If there is one positive to be taken from all of this it is that we are all in the same, difficult boat.
IVA debt help is of no use to big companies but, for individuals with unmanageable debts, IVA debt help is a potential life raft in the face of spiralling debts. IVA debt help allows individuals to get their debts under control and can stop interest accruing on outstanding debts. Over the course of 3 years this form of IVA debt help will eventually work debtors out of their sticky financial situation and back into the black – provided they keep to the rules.
Sadly this form of debt resolution is not possible for Peacocks or Past Times. Peacocks have been involved in long talks with over 15 lenders for many weeks, desperately attempting to restructure their debts in order to avoid the loss of hundreds of stores and thousands of jobs.
Times are certainly tough at the moment and, if we are to learn anything from the current economic climate, it is to act sooner rather than later. Taking tough, sensible steps, like setting up IVA debt help at an early stage, will save long term strife and stress.
If you’d like to learn more about arranging IVA debt help, or would simply like more information about how IVA debt help works, browse the rest of this site or speak confidentially with one of our IVA debt help experts on 02920 346 536 today.