Creditor’s Petition threshold set to increase this October

The Government announced today in a written statement to parliament that it intends to increase the threshold for creditors to issue a Bankruptcy Petition from £750 to £5,000.

The Government believes that a threshold of £5,000 is more proportional due to the serious implications of Bankruptcy.

There will also be an increase in the maximum debt level at which people can apply for a Debt Relief Order – from £15,000 to £20,000.

The changes are due to take place in October 2015.