OFFICIAL figures show the number of Hampshire people declaring themselves bankrupt has rocketed by 37 per cent.

Southampton is the county's bankruptcy hotspot with 168 people officially insolvent in the past three months - a jump of 40 per cent on last year's figures of 120 cases.

The figure is roughly half of Hampshire's overall total of 323 cases in the third quarter of 2006, up from 235 in the same period last year.

According to accountants KPMG's analysis of the figures, the average debtor owes between £46,587 and £49,660.

Mark Sands, director of personal insolvency at KPMG's South Coast office said: "With average debt levels as high as this, it is unsurprising that we are seeing more and more people choosing personal insolvency as the solution to their problems.

"The number of people opting for insolvency shows a culture change which we think is permanent.

"Several lending institutions have raised concerns at these record levels and KPMG has called for an open dialogue about the solutions which are to be offered to the increasing number of consumers struggling to manage their debts."