Recent reforms to England and Wales’ Debt Relief Order (DRO) system have significantly expanded access to debt relief, with the removal of a £90 application fee driving the biggest increase in uptake, according to a review by the Insolvency Service.
The review examined changes introduced in 2021 and 2024, including higher debt eligibility limits, increased asset thresholds and the abolition of the administration fee, to assess whether the reforms had improved access to debt solutions for people on low incomes with limited assets.
It found the 2021 eligibility changes resulted in a 27% increase in the number of people obtaining a DRO, while further reforms introduced in 2024…