On 21 July 2016, an increase in the fees for bankruptcy and company insolvency came into force.
The new fees will apply to any petition which is lodged with the Adjudicator or filed with the court on or after 21 July 2016. The new fee structure will also apply to any bankruptcy order or compulsory winding up order made on or after this date.
The changes to existing fees and deposits are as follows:
• Bankruptcy Deposit (Debtor): £525 increasing to £550
• Bankruptcy Deposit (Creditor): £825 increasing to £990
• Company Winding up Deposit: £1,350 increasing to £1,600
• Bankruptcy administration fee (Debtor): £1,990 – no change
• Bankruptcy administration fee (Creditor): £1,990 increasing to £2,775
• Company administration fee: £2,520 increasing to £5,000
The Secretary of State fee will no longer be charged in relation to orders made on or after 21 July 2016, although several new fees are introduced, as follows:
• the Official Receiver’s General fee – £6,000 payable in all cases where a bankruptcy or winding up order is made
• a Trustee/Liquidator fee – 15% of the value of any assets realised by the Official Receiver
• an Income Payments Order (IPO) / Income Payments Agreement (IPA) set up fee – £150
• a dismissed / withdrawn petition refund fee – £50
The Official Receiver’s entitlement to charge a distribution fee on a time cost basis when making distributions will remain unchanged.
The new fees are implemented by the coming into force of the Insolvency Proceedings (Fees) Order 2016.
For further information about this or any other insolvency related issue, please contact Navinder Grover, Rod Cowper or Lee Donoghue in the Insolvency team at Teacher Stern.
