08/07/2016

Changes to Insolvency Fees

Thursfields Staff Member 96

In 2014 the Insolvency Service agreed it would carry out an evaluation of the insolvency fees with a view to designing a new, more transparent structure that would place the agency on a more maintainable economic platform. The changes come into force on 21 July 2016.

As with the current structure, the deposit and administration fee will remain, and a new Official Receiver’s General Fee will be introduced. This will replace the current Secretary of State fee, which will no longer apply to cases where orders are made on or following the commencement date.

  • The General Fee will be charged on all cases and will be set at a fixed level;
  • The Trustee/liquidator fee will be charged on assets realised by the Official Receiver when carrying out the duties of trustee or liquidator;
  • Two new fees relating to the dismissal/withdrawal of petitions and setting up an Income Payments Agreement/Order will be introduced; and
  • The distribution fee charged when a distribution is made to creditors by the Official Receiver will remain the same

The fees are as follows:

Deposit / Fee rate Current amount New Amount Difference Notes
Bankruptcy deposit (debtors case) £525 £550 £25 Not changed since 2011
Bankruptcy deposit (creditors case) £825 £990 £165
Company winding up deposit £1,350 £1,600 £250
Bankruptcy administration fee (debtors case) £1,990 £1,990 No change
Bankruptcy administration fee (creditors case) £1,990 £2,775 £785
Company administration fee £2,520 £5,000 £2,480
General fee Up to £80,000 – Varies from case to case, charged on a sliding scale on realisation of all assets in the case £6,000 Up to -£74,000 Effectively replaces the Secretary of State fee but charged at the start of the case and one fixed fee
Trustee/liquidator Fee 15% of assets realised New Fee New Fee
Fee for setting up an Income payments agreement/order £150 New Fee New Fee
Dismissed petitions fee £50 New Fee New Fee

 

For further information on the changes to insolvency fees or for any insolvency enquiry please contact Associate Solicitor, Lauren Hartigan-Pritchard on 01905 677051 or lhartiganpritchard@thursfields.co.uk

Share this news story

Follow us

Keep up to date

* indicates required

Thursfields Legal Limited is authorised and regulated by the Solicitors Regulation Authority in England and Wales. Registered number 08829685.

Thursfields Legal Limited is authorised and regulated by the Solicitors Regulation Authority in England and Wales. Registered number 08829685.

By using this website you agree to accept our Privacy Policy and Terms & Conditions