Personal Bankruptcy Limits Increase

Changes to the Insolvency Act 1986 that are being introduced on 1 October 2015 will mean that a person will no longer be able to be made bankrupt if they fail to pay a judgment debt of as little as £750 (a sum which has remained the same for 19 years).

Under the revised regulations, a petition for bankruptcy will only be able to be presented if the debt due is £5,000 or more.

If you are in financial difficulties, it is best to take professional advice at an early stage as to what the options open to you are. It is often possible to reach agreements with those to whom you owe money without having to undertake formal insolvency proceedings.
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Vicki Hains
Consultant
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