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More than £57 million returned to the economy.
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Almost 70,000 emergency redundancy payments made, and 45,000
Debt Relief Orders issued.
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More than 1,000 directors disqualified for financial
misconduct.
Latest figures revealed by the Insolvency Service show that £57.5
million has been returned to the UK economy in the past year, and
over 69,000 people have been supported through emergency
redundancy payments.
The figures form part of the agency's Annual Report and Accounts
2024-25: Insolvency Service Annual
Report and Accounts 2024-2025 - GOV.UK
Interim Chief Executive Alec Pybus said: “The Insolvency Service
has reached milestone achievements in the past year, not least in
returning tens of millions back into the economy and ensuring
those in financial distress are better supported.”
Supporting the UK economy
The Annual Report and Accounts show that Insolvency Service
Official Receivers handled 10,817 new insolvency cases during
2024-25.
This has resulted in a return of £57.5 million to the economy
through distributions to creditors and debtors.
Additionally, there has been continued support for those who have
lost their jobs unexpectedly where their employers cannot pay
their redundancy period.
For example, the Redundancy Payments Service, has processed more
than 69,000 payments in the past year.
The service responds quickly to applicants, within an average of
just 11 days, providing much-needed support to those who are no
longer employed through no fault of their own.
Tackling financial wrongdoing
Insolvency Service investigations also resulted in 1,037
directors being disqualified for misconduct, demonstrating the
Insolvency Service's commitment to tackling financial
wrongdoing.
Additionally, the agency has completed 169 criminal prosecutions
and undertaken 133 live company investigations.
Supporting people in financial
distress
There have also been effective changes to how the Insolvency
Service manages Debt Relief Orders (DROs) – a solution to deal
with debts that cannot be paid, including abolishing the £90
administration fee.
As a result, the number of DROs taken out by people in financial
distress increased to 45,917, a rise of 41 per cent from the
previous year.
The Breathing Space scheme – which provides legal protections
from creditors for up to 60 days – was also approved for 88,568
individuals including 1,259 for people in a mental health
crisis.
The Insolvency Service also introduced electronic signatures for
Bankruptcy Order documents. This has increased the processing of
these documents by six weeks, now taking just four days to be
returned to an applicant.
Alec Pybus continued:
This annual report demonstrates that we are continuing to be an
effective organisation, finding the right balance between
tackling financial wrongdoing – which continues to be complex and
challenging – and providing supportive solutions to people in
debt.
Our work is crucial to maintain the integrity of our financial
system, delivering economic confidence and protecting the
interests of our customers.
We will now continue to build on these achievements and work
towards a future where our services offer even greater support
and value to all.
The Insolvency Service has also published its latest Annual Plan,
which sets out the agency's aims for the year ahead: Insolvency Service Annual
Plan 2025 to 2026 - GOV.UK
