Stage 1 of the review was led by the Accountant in Bankruptcy. It involved an examination of immediate priorities that could be taken forward during the Parliamentary session. It specifically looked at measures that would help address the consequences of the COVID-19 pandemic.
Conclusion
Stage 1 concluded with the below changes coming into force on 29 March 2021 through the Bankruptcy (Miscellaneous Amendments) (Scotland) Regulations 2021:
- reduction of the Minimal Asset Process bankruptcy application fee to £50
- reduction of the full administration bankruptcy application fee to £150
- removal of all bankruptcy debtor application fees where prescribed benefits is received
- increasing the debt threshold for access to the Minimal Asset Process route into bankruptcy from £17,000 to £25,000
- removal of student loans for consideration in the Minimal Asset Process bankruptcy debt threshold
- enablement of electronic signatures on applications for bankruptcy
- increasing the time scale for a trustee to submit their initial debtor contribution proposal to Accountant in Bankruptcy from 6 weeks to 12 weeks