City hurt by bankruptcy
GLADSTONE has leap-frogged Rockhampton as one of Central Queensland's bankruptcy hotspots.
At least 50 bankruptcy declarations were made in Gladstone last financial year, with 145 cases in Rockhampton.
On Wednesday, federal agency Insolvency and Trustee Service Australia released a list of postcodes most vulnerable to bankruptcy.
Bundaberg topped Central Queensland's list for the highest number of cases, with 184 lodged last financial year.
GTC Financial managing director Neville Hughes said the figure indicated the existence of a two-speed economy in Gladstone.
"Those who aren't directly involved with the LNG project are the ones who are suffering," Mr Hughes said.
"Gladstone is a unique place because not everyone who lives in the area buys in the area."
Toowoomba recorded the highest number of bankruptcy cases in Queensland, with 195 bankruptcy declarations made in the region.
This comes as Australia's unemployment rate dropped to 5.2% in March, with more than 44,000 new jobs created.
"Unemployment leaves people with less to spend. It's a vicious cycle," Mr Hughes said.
Mr Hughes said Gladstone residents could reverse the effects of a two-speed economy in the city if they spent more locally.
"Unless we spend that money, small businesses will not survive," he said.
QUEENSLANDERS IN DEBT
Gladstone
Bankruptcies: 50
Debt Agreements: 24
Personal Insolvency Agreements: Not provided.
Rockhampton
Bankruptcies: 145
Debt Agreements: 14
Personal Insolvency Agreements: Not provided.
Bundaberg
Bankruptcies: 184
Debt Agreements: 39
Personal Insolvency Agreements: 0
