This year is likely to see spikes in the bankruptcy rates for Scottish individuals and businesses which are currently operating as 'zombies' and unable to do more than service their debts, according to research by BDO.

The firm is predicting that just under 15,000 Scots will have been sequestrated (the Scottish term for bankruptcy) or taken out a Protected Trust Deed (PTD) by the end of 2013 and that a similar figure will go bust by the end of 2014.

Bryan Jackson, business restructuring partner with BDO LLP, said: 'There are signs that the economy is beginning to recover and that the six year period in the economic doldrums is coming to an end. However, for many individuals debts which were accumulated years ago continue to plague them and they are extremely susceptible to any changes in their personal circumstances.'

BDO's analysis shows the number of Scots being made bankrupt has reduced in the last few years from a peak of 23,500 in 2009, but says the current figure is still at a 'disturbingly high level'.

Jackson said: 'Worryingly many businesses are in a similar situation simply paying interest on debts which are never reduced. About 20 businesses a week will have gone bust during 2013 and I would expect a similar figure or perhaps even higher for the coming year. If, as is widely predicted, interest rates start to increase sooner than expected I believe we will suddenly see a spike in the levels of personal and corporate insolvency in Scotland.'