Bankruptcy and DRO changes in Northern Ireland
Changes to bankruptcy and debt relief orders (DRO) in Northern Ireland are proposed which shall bring matters in Northern Ireland into line with equivalent procedures currently in force in England & Wales.
The Insolvency (Northern Ireland) Order 1989 (Amendment) Order (Northern Ireland) 2016 will increase the level of debt that a creditor must have in order to petition for an individual to be made bankrupt from £750 to £5,000.
The Insolvency (Monetary Limits) (Amendment) Order (Northern Ireland) 2016 will raise the limit on the level of debt and the total assets which an individual can own in order to be eligible for a Debt Relief Order. The maximum level of debt will increase to be eligible for a DRO will increase from £15,000 to £20,000 while the total value of property which can be owned will increase from £300 to £1,000.
Both changes, which are subject to the approval of the NI Assembly, are due to come into effect on 30 November 2016.