Help the IPA formulate its response to the Government Call for Evidence: Review of the Personal Insolvency Framework

You may be aware that on 5 July 2022, the Insolvency Service launched a Call for Evidence (CfE) to initiate a full review of the personal insolvency framework in England and Wales (personal insolvency being a devolved function within Scotland and Northern Ireland). The CfE closes on 24 October 2022. The IPA would appreciate your contributions to formulating its response and would encourage you to consider the proposals in detail and participate in the consultation itself.

The CfE is wide ranging and starts from fundamental concerns such as whether the balance between debt forgiveness and repayment, as manifested in the current regime, is the right one. It also recognises that the current system, largely introduced nearly forty years ago, evolved in an environment where a large majority of personal insolvencies were the result of business failure whereas now the majority are the result of consumer debt.

Accordingly, the CfE seeks views on the underlying purpose of the personal insolvency framework, how it should operate and be funded, and what motivates debtors in choosing particular solutions rather than others.

The IPA would appreciate your contributions to formulating its response and would encourage you to consider the proposals in detail and participate in the consultation itself.

A summary of the CfE questions can be accessed here for your consideration, and we would be grateful for your comments on any or all the questions and/or on the personal insolvency framework generally. The CfE itself can also be accessed here.