Insolvency

No mercy for creditors

Fast on the heels of the rise in the minimum debt to found a bankruptcy petition from £750 to £5,000 in petitions issued on or after 1 October 2015 (see “Civil way”, NLJ, 8 May 2015, p 20) comes another blow to creditors. Fees have risen for bankruptcy and winding up petitions presented on or after 16 November 2015 by dint of the Insolvency Proceedings (Fees) (Amendment) Order 2015 (SI 2015/1819). The creditor’s bankruptcy petition will attract another £75 as it goes from £750 to £825; the winding up petition is up by £100 from £1,250 to £1,350; and the deposit for the official receiver’s administration fee rises by £140 from £1,850 to £1,990 on petitioning for bankruptcy and by £120 from £2,400 to £2,520 on petitioning for winding up. The secretary of state’s fees are reduced. Suddenly, third party debt orders seem so very appealing. HMCTS says that the current fundamental review of its funding regime is not expected to lead to a significant change in funding structures before 2016. That’s alright then.