Friday 21st of August 2009
Residents in seaside resorts have been hit hard by the recession, it has been announced, which could see an increase of individual voluntary arrangement (IVA) applications made in such areas.
Figures from the Trades Union Congress (TUC) show that claimant unemployment levels in Weston-Super-Mare have jumped by 122 per cent since July 2008, while Bournemouth has seen a 130 per cent rise.
The statistics also discovered that other seaside resorts have seen a less significant rise, but still remain above the national average. The unemployment claimant rate in Southend is 5.9 per cent, while North Thanet has a claimant rate of 5.2 per cent of the population.
When a household income is suddenly decreased, Britons may find it difficult to keep up with their credit card and personal loan repayments.
People who were already seriously struggling could undertake an IVA, which will freeze the interest on debt during difficult financial times.
"Many seaside towns have made impressive and imaginative efforts to regenerate themselves - and deserve real praise - but even the most ambitious scheme cannot buck the effects of such a deep recession," said Brendan Barber, the TUC general secretary.
By Kimberley Parsons
- House price rise 'may not indicate recovery'
- Equity release 'needs to be increased'
- Need for IVA help could increase as expert predicts reduction in lending
- Government announces 'breathing space' for those needing IVA help
- Lack of subprime lending creating need for IVA help, expert suggests
- Debt problems affecting your personal life? Seeking IVA answers may be a wise choice
