Bankruptcy Fee UK: What Does It Cost in 2026?

What Is the Bankruptcy Fee in the UK?

The bankruptcy fee in the UK — specifically in England and Wales — is £680 in total. This is the amount someone must pay to the Insolvency Service before their online bankruptcy application can be processed. The fee applies whether the person is applying voluntarily or is being made bankrupt by a creditor.

This single figure covers two separate components that are paid together during the application process: an adjudicator fee of £130 and a deposit of £550. The deposit is held by the Official Receiver and used to cover the administrative costs of handling the bankruptcy estate. According to GOV.UK, both must be paid before the application is submitted — an incomplete payment will prevent the case from proceeding.

How the £680 Bankruptcy Fee Is Broken Down

The adjudicator fee (£130)

The adjudicator is the Insolvency Service official who reviews and decides on a voluntary bankruptcy application. The £130 adjudicator fee covers this decision-making process. It is non-refundable once a bankruptcy order has been made, even if the applicant later asks for it to be annulled.

The Official Receiver deposit (£550)

The £550 deposit is paid to the Official Receiver, who takes initial control of the bankrupt person's financial affairs. This deposit funds the administrative work involved in managing the bankruptcy — collecting information about assets, dealing with creditors, and completing statutory investigations. If a trustee in bankruptcy is later appointed (because there are significant assets to distribute), further fees may be charged from the estate rather than from the individual directly.

Are there any other costs?

In straightforward cases where there are few or no assets, the costs to the individual are typically limited to the £680 application fee. However, if assets are identified — such as equity in a property, savings, or valuable possessions — the Official Receiver or a licensed insolvency practitioner acting as trustee may charge additional fees from the proceeds of those assets. These costs come out of the estate, not from the bankrupt person's ongoing income or bank account directly.

How to Pay the Bankruptcy Application Fee

Applications for bankruptcy in England and Wales are made online through the GOV.UK service. Payment is made as part of the online application process. According to GOV.UK, payment can be made by debit card, credit card, or a pre-paid Mastercard or Visa card. The full £680 must be paid at the point of application — partial payments are not accepted in a single session.

Paying in instalments

The GOV.UK guidance confirms that it is possible to pay the fee in multiple instalments using the online application system. An applicant can start the application, make a partial payment, save progress, and return later to make further payments. Once the full £680 has been paid, the application is submitted. This flexibility can be important for someone who cannot raise the full amount at once.

Is there a fee waiver or exemption?

As of 2026, there is no automatic fee waiver for the bankruptcy application fee in England and Wales. Unlike the Debt Relief Order (DRO), where the £90 application fee was abolished on 6 April 2024, the bankruptcy fee remains at £680 and must be paid in full before an order can be made. Someone in genuine financial hardship who cannot raise £680 may need to consider whether a DRO or another formal debt solution is more accessible given its costs.

Who Can Apply for Bankruptcy in England and Wales?

Bankruptcy in England and Wales is available to individuals who are unable to pay their debts as they fall due. There is no minimum debt threshold for a voluntary application — someone can apply regardless of the total amount owed, though it is generally considered a serious step with significant consequences. A creditor can also petition for someone's bankruptcy if they are owed at least £5,000.

Residency requirements

To apply in England and Wales, the applicant must either live or have a place of business in England or Wales, or have done so at some point in the three years before applying. Scotland and Northern Ireland operate entirely separate insolvency regimes, with different fees and rules. The information on this page applies only to England and Wales.

Assets and income considerations

Bankruptcy does not require someone to have no assets at all. However, certain assets may be taken and sold by the trustee to pay creditors — this can include a share of equity in a home, a car above a modest value, savings, and other valuable items. Essential items such as basic household goods, tools needed for work, and a vehicle of reasonable value for getting to work may be protected. An Income Payments Agreement (IPA) or Income Payments Order (IPO) may also be put in place if the bankrupt person has surplus income above what they need for reasonable domestic needs — this can last for up to three years.

What Happens After Paying the Bankruptcy Fee and Applying?

Once the £680 fee has been paid and the application submitted, the adjudicator reviews the case. A decision is usually made within 28 days, though it can often be quicker. If the bankruptcy order is granted, the Official Receiver takes control and contacts the applicant, typically within a few days of the order being made.

The bankruptcy period itself

In most cases, bankruptcy in England and Wales lasts for 12 months. After that period, the individual is automatically discharged from most of their qualifying debts. The discharge does not remove all obligations — certain debts such as student loans, child maintenance arrears, court fines, and debts arising from fraud are not written off by bankruptcy.

Impact on credit records and public registers

A bankruptcy order is recorded on the Individual Insolvency Register, which is publicly searchable. It also appears on the applicant's credit file. The entry on the credit file typically remains for six years from the date of the bankruptcy order. This can affect the ability to obtain credit, rent property, or open certain bank accounts during and after that period.

Alternatives to Bankruptcy Worth Knowing About

Bankruptcy is one of several formal debt solutions available in England and Wales. Depending on an individual's circumstances — total debts, income, assets, and creditor types — other routes may be available. Each has its own rules, costs, and consequences, and a regulated debt adviser is the appropriate person to explain how each applies to a specific situation.

• Debt Relief Order (DRO): For debts up to £50,000, no application fee since April 2024, lasts 12 months. Must meet eligibility criteria including asset and income limits.
• Individual Voluntary Arrangement (IVA): A formal agreement with creditors, typically lasting five or six years. Insolvency practitioner fees are usually drawn from monthly contributions rather than paid upfront.
• Debt Management Plan (DMP): An informal arrangement to repay debts over time. Not legally binding on creditors but can reduce monthly payments.
• Breathing Space: A 60-day legal protection available in England and Wales, applied for through a debt adviser, which pauses most creditor contact and enforcement action.

Free, impartial information about all of these options is available from MoneyHelper, StepChange, Citizens Advice, and National Debtline. These organisations provide regulated debt advice at no charge and can help someone understand which formal route, if any, may be appropriate for their position.

Common Questions About the Bankruptcy Fee

Can the £680 fee be refunded if an application is refused?

If a bankruptcy application is refused by the adjudicator before a bankruptcy order is made, the £550 deposit may be refunded, but the £130 adjudicator fee is non-refundable. According to GOV.UK, refunds of the deposit are considered on a case-by-case basis. Once an order is made, neither element is refundable.

Is the bankruptcy fee the same in Scotland and Northern Ireland?

No. Scotland and Northern Ireland have separate insolvency systems with different fees and eligibility rules. In Scotland, the equivalent process is known as Sequestration and is administered by the Accountant in Bankruptcy. The fees and rules there differ from those in England and Wales. The figures on this page apply only to England and Wales.

Does paying the bankruptcy fee mean bankruptcy is definitely granted?

Not automatically. Paying the £680 fee submits the application for review by an adjudicator, who then decides whether to grant a bankruptcy order. In practice, voluntary applications are rarely refused if the basic eligibility criteria are met and the application is completed correctly, but the adjudicator does have discretion to decline.

What if someone cannot afford the £680 bankruptcy fee?

There is currently no fee waiver available for the bankruptcy application fee. One practical option is to use the instalment facility within the GOV.UK online application to pay in stages over time. Someone unable to raise £680 may also want to explore whether a Debt Relief Order — which now has no application fee — could be an option, subject to meeting the eligibility criteria. A regulated debt adviser can explain the differences between solutions.