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Harrison, Rachel; Grant, David --- "ENGLAND AND WALES" [2019] ELECD 1201; in Kadner Graziano, Thomas; Bojars, Juris; Sajadova, Veronika (eds), "A Guide to Consumer Insolvency Proceedings in Europe" (Edward Elgar Publishing, 2019) 343

Book Title: A Guide to Consumer Insolvency Proceedings in Europe

Editor(s): Kadner Graziano, Thomas; Bojārs, Juris; Sajadova, Veronika

Publisher: Edward Elgar Publishing

Section: Chapter 10

Section Title: ENGLAND AND WALES

Author(s): Harrison, Rachel; Grant, David

Number of pages: 31

Abstract/Description:

Insolvency of natural persons, or individual insolvency, is called ‘bankruptcy’ in England and Wales. Both corporate insolvency and personal insolvency are governed by the Insolvency Act 1986 and the Insolvency Rules 2016. As well as bankruptcy, there are other options for debtors who do not wish to become bankrupt. These involve paying off debts in instalments through the establishment of a Debt Management Plan, an Administration Order, or an Individual Voluntary Arrangement. If repayment is not a viable option for the debtor, he can apply for a Debt Relief Order or a Bankruptcy Order. The debtor’s choice will take several factors into account, chiefly the extent and nature of his debt, and his disposable income and assets. English law is perceived as one of the most ‘debtor-friendly’ systems among EU Member States due to its breadth of applicability, relative simplicity and automatic discharge.