The number of people declared insolvent in Scotland has more than doubled since new laws made the process easier, official figures revealed yesterday.

The Accountant in Bankruptcy said there were 2853 cases between April and June, 104% more than the previous quarter and 78% higher than the same period last year.

The debt management organisation, which is accountable to the Scottish Government, said the increase was "predominately" because of the relaxation in the laws which now allow people on low incomes - those who earn less than £220 a week and have assets worth less than £10,000 - to volunteer for insolvency at a cost of just £100. Previously, a debtor could only apply for insolvency if court action was brought against them by a creditor.

Colin Murdoch, director of newtomorrow debt advice service, said the rise in insolvency levels was not surprising in light of the new laws.

"The profession expected this because you are allowing a whole raft of people who were in a financial no-man's land into a quick release process from their debt," he said.

Of the 2927 debtor applications between April and June, 1709 met the low income and low asset criteria.

Those who are declared insolvent now only hold the status for one year instead of three years, raising criticisms that insolvency was now a "soft option" for those faced with financial difficulties.