When will the economic upturn help consumers?

It has been revealed that over 130,000 people in the UK were declared bankrupt in 2009 which was a 26% increase on the corresponding figure from 2008. When you consider that upwards of 10,000 UK citizens are hitting the financial buffers each and every month this reflects the dire economic situation currently affecting more and more people despite the so-called "economic upturn".

Analysts believe that bankruptcy numbers will continue to rise for the next 12 to 18 months before the economic upturn, assuming it continues into 2010, begins to affect everyday consumers in the UK. This revelation will surprise and shock many people who automatically assumed that as soon as the economy turned up the financial plight of those in trouble would immediately improve.

However, we will see job cuts for some months to come, cost savings across the business arena and more and more people struggling to make ends meet. The worst may be over for the economy that the worst may yet be to come for those currently sitting on a financial knife edge. As the budget deficit continues to attract negative headlines around the world the UK government will find it more and more difficult to find new money to pump into the benefits system and the economy as a whole.