Commencing insolvency proceedings against a debtor carries a number of costs. Not only will a creditor have to take court fees and solicitor fees into consideration, but they must also consider the Official Receiver’s deposit.

The Official Receiver’s deposit enables the government appointed Official Receiver to make investigations into a company or an individual in bankruptcy and it is payable upon the issuing of insolvency proceedings.

The deposit fee is currently £990 for bankruptcy petitions and £1,600 for winding up petitions. However, the deposit fees are increasing on 1 November 2022 to £1,500 for bankruptcy petitions and £2,600 for winding up petitions. This increase will be the largest within the last decade, you can see the change over the last decade in the table below:


Type of Deposit 2011 2016 2022
Bankruptcy Deposit £825.00 £990.00 £1,500.00
Winding Up Deposit £1,350.00 £1,600.00 £2,600.00


The Insolvency Service have stated that the reason for the increase is due to insolvency case numbers falling to a “historically low level” and that the remaining cases have inadequate asset value to recover costs and that the increase will “enable the Insolvency Service to continue to administer and investigate insolvencies effectively, maximising outcomes for creditor whilst mitigating the risk of cost recovery being passed on to the taxpayer”.

Creditors may feel that the increase is a further restriction to the already limited recovery options and may be deterred from presenting a petition against a debtor. Creditors will now have to carefully consider the cost risks involved in presenting a petition including evaluating the value of the debt and what assets the debtor has to realise if/once an order is made.

Whether you are a creditor pursuing a debt or a debtor being pursued by a creditor, our team of insolvency experts are on hand to advise you throughout the process. Get in touch today for down to earth legal advice tailored to your circumstances. Call 0845 287 0939, contact us by email, or use the online chat below.