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I have started to get emails through about buying Google reviews which seem to now be for sale to help boost business, I have been offered by email the chance to purchase 10 google reviews which are gradually fed into the system for the fee of $185 dollars, ironically I have had another email from […]

My blog this week is again focused on the IVA market and its poor practises selling these schemes to clients who many should have never been considered for such schemes, however adverts on Facebook advising clients of little known Government legislation allows you to substantially write off a portion of your debts some using a […]

On 19 August 2024, the latest British Home Stores (“BHS”) judgment set out how trading misfeasance claims were to be quantified. In awarding the companies £150 million against two former BHS directors, the English Court for the first time addressed how equitable compensation should be calculated for breaches by directors of what has been termed […]

Pub insolvencies hit ten year high Nearly 800 pubs entered insolvency in 2023 – the highest number in over a decade. According to data from accountancy firm Price Bailey, 769 pubs closed across the UK, which marked a 48% jump from the 518 closures recorded in 2022. Price Bailey said the final figure was likely […]

For individuals, the total number of insolvencies in November 2023 was 8,243, 21% lower than in the same month in the previous year (10,478 in November 2022). The individual insolvencies consisted of 661 bankruptcies, 3,290 debt relief orders (DROs) and 4,292 individual voluntary arrangements (IVAs). The lower number of individual insolvencies compared to November 2022 […]

HMRC’s stance When you or your company are experiencing financial difficulty, it is easy to prioritise payments to trade creditors or suppliers, on whose continued support and patience you rely. It is easier still to put payment of tax debts to the bottom of the pile. However, failing to pay sums which HMRC considers to […]

October 2023 Insolvency statistics show another decline in IVAs, are people now more aware of the fail rate of these solutions The October 23 individual insolvencies consisted of 703 bankruptcies, 3,245 debt relief orders (DROs) and 5,933 individual voluntary arrangements (IVAs). The lower number of individual insolvencies compared to October 2022 was driven by a […]

The individual insolvencies consisted of 671 bankruptcies, 2,913 debt relief orders (DROs) and 3,687 individual voluntary arrangements (IVAs). The number of registered IVAs in September 2023 was less than half the number in September 2022, likely in part because of an unusually large number of late registrations of IVAs approved in August and September. Nonetheless, […]

If a company becomes insolvent, it is crucial that its directors comply with their legal duties. Failure to do so can result in personal liability for the company’s debts as well as legal action and disqualification from being a company director or being involved in a company in the future. We look at exactly what […]

In Re Scherzade Khilji (in bankruptcy) the court provided useful guidance on when the three-year “use it or lose it” limitation period to realise a bankrupt’s primary place of residence (provided by section 283A of the Insolvency Act 1986) commences. Background This case concerns the property interests of Ms Scherzade Khilji (Ms Khilji), who was declared bankrupt […]

My Article this week follows the successful action by the Courts challenging the Mental Health Moratorium, Coming into force to relatively little fanfare in 2021, the Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020 (the Regulations) introduced two significant new avenues for relief for individual debtors. Less than two […]

I often get calls from individuals who have ignored their creditors and are suddenly facing bankruptcy proceedings, they are now in a panic asking what to do, I have found the article below which explains everything perfectly What is a Bankruptcy Petition? A bankruptcy petition, put simply, is a petition to the Court to ask […]

The Insolvency Service has recently announced their proposal to increase the cost of deposits payable on creditors’ bankruptcy and winding-up petitions which are presented on or after 1st November 2022, no word yet on Debtor petitions where deposits are at present £680 The proposal is as follows: Bankruptcy Petition deposit increasing from £990 to £1,500 […]

I had a difficult decision to make when I was thinking of bankruptcy and needed independent advice.  I called Daniel to seek some help to look at options and we decided that bankruptcy was the only route.  Daniel worked closely with me and guided me, alerting me of pitfalls and how the process works in […]

The UK’s biggest rent-to-own firm, PerfectHome, has gone into administration, affecting thousands of customers. The company lent customers money to buy household goods, which they paid off weekly with interest. This sort of deal is commonly known as buying ‘on the never-never customers would pay off items of furniture and electrical goods over many years PerfectHome […]

This week I have had two unfortunate clients knocking on my door for help. Mr JP from Nottingham has paid just on £7000 into his IVA over two years and just £300 has gone to creditors. He has no assetts, no Job that is vulnerable to Bankruptcy and has hit short time with three years […]

Shares in Amigo Loans sank more than 40 per cent last week after the embattled subprime lender reiterated it will go bust if its new rescue plan and fundraising approach are not approved. Amigo‘s previous rescue plan was rejected last year by London’s High Court for short-changing claimants, so the company increased its compensation pot […]

Tommy Robinson, founder of the English Defence League was in court last week being pursued by the many people he owes money to. This has increased scrutiny on whether he genuinely disposed of assets in his timely divorce from Jenna Lennon. Tommy filed for voluntary bankruptcy on 3 March 2021, shortly after finalising his divorce […]

The Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Act (“Act“) received royal assent on 15 December 2021. The Act extends the scope of powers available to the Insolvency Service to address the issue of directors dissolving companies to avoid paying their liabilities. The Government’s Business Secretary, Kwasi Kwarteng, has made it clear that the introduction […]

On 21 December 2021 the Government launched a consultation into the future of insolvency regulation. The changes proposed in the consultation document will have a wide ranging impact on the insolvency profession (and its insurers) with the proposals including: the direct regulation of insolvency firms, the introduction of a single regulatory body with powers to […]

Rogue directors will find themselves in the firing line if and when The Rating (COVID-19) and Directors Disqualification (Dissolved Companies) Bill, which is currently making its way through parliament, comes into force. The proposed bill will enable the investigation and potential disqualification of directors of dissolved companies, and responds in particular to concerns around COVID-related […]

Hi there This afternoon I’ve had letters from one person explaining my car is exempt from my bankruptcy and another from a different person with all the copies of the letters to my bank accounts. The letter to Santander advises that I can still use my account. I’ve tried to phone Santander myself without success. […]

After a period of significant inactivity as a result of the various temporary measures introduced during the pandemic, we are now approaching an insolvency cliff edge in the UK. Senior restructuring and insolvency lawyers from TLT’s Scottish, Northern Irish and English offices discuss: The factors that may influence when and why we might see personal […]

Suffering with mental health problems and being in financial difficulty are often strongly linked, with one frequently causing or worsening the other. The introduction of The Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020 (referred to in this article as the ‘debt respite regulations’), which, with very […]

The Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020, which will come into force on 4 May 2021, will provide individuals with the opportunity to obtain legal protection from creditors in the form of either a breathing space moratorium or a mental health crisis moratorium. Given the […]

The UK’s latest quarterly company insolvency statistics, published on 30 April, show that insolvency rates remain significantly below pre-pandemic levels, demonstrating the continued success of Government measures in preventing a COVID-19 related wave of insolvencies. The Q1 2021 data shows that the trends from Q4 2020 continue, with the overall number of registered company insolvencies in […]

Last year, temporary changes to the bankruptcy process were brought in by the Scottish Government, to help individuals financially impacted by the pandemic. Scottish ministers have now introduced the Bankruptcy (Miscellaneous amendments) (Scotland) Regulations 2021, to make some of those changes permanent. The main purpose of these measures is to improve access to minimal asset […]