British debt management firms were rocked again today amid fresh signs of a tougher line on personal debt among creditors.

Shares in British debt management companies plunged today as investors bailed out amid signs creditors were becoming increasingly reluctant to back IVAs.

Debt Free Direct reaped the benefit of the UK’s borrowing binge today as it said the number of people it offered rescue packages to doubled.

Debt advice firm Debt Free Direct forecast bumper profits today as record numbers of people became insolvent.