Fairpoint, once known as Debt Free Direct, returned to the black in the first half and is looking forward to benign market conditions for the foreseeable future.

The pre-tax profit of £2.18m ($3.6m) compared with a loss of £1.17m previously, when there was a £1.3m exceptional charge for restructuring. The company is the market leader in providing individual voluntary arrangements , which allow over-indebted consumers to pay off a proportion of their debts, usually over five years.