Written answers

Wednesday, 16 July 2014

Department of Justice and Equality

Court Procedures

Photo of Stephen DonnellyStephen Donnelly (Wicklow, Independent)
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200. To ask the Minister for Justice and Equality if she will consider removing court fees for bankruptcy, which, according to debtor advocate groups, are acting as an impediment to the uptake of the new bankruptcy regime; and if she will make a statement on the matter. [31771/14]

Photo of Frances FitzgeraldFrances Fitzgerald (Dublin Mid West, Fine Gael)
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I wish to inform the Deputy that fees charged in the courts are set by means of Statutory Instrument. Court fees orders are made by myself as the Minister for Justice and Equality with the consent of the Minister for Public Expenditure and Reform.

During 2013, the Courts Service carried out a comprehensive review of court fees. Court fees in connection with bankruptcy proceedings are currently regulated by the Supreme and High Court (Fees) Order 2014 (S.I. 24 of 2014) which came into effect on 3 February 2014. The fees comprise €190 payable on the petition for bankruptcy and €20 payable on the verifying affidavit. As the Deputy will appreciate, court fee income forms a significant part of the funding for the general operation of the courts and the Courts Service keeps its fee structure under continuous review in accordance with the power given to it under the Courts Service Act. I have no plans to reduce the fees payable under S.I. 24 of 2014, however, the operation of the law in this area is kept under review by my Department.

In addition, the Deputy should note that fees are also payable to the Insolvency Service of Ireland during administration of a bankruptcy as set out in the Personal Insolvency Act 2012 (Prescribed fees in Bankruptcy Matters) Regulations 2013 (S.I. 465 of 2013). These fees similarly are kept under review. The law relating to bankruptcy was already changed in 2013 (by the Companies (Miscellaneous Provisions) Act 2013 to reduce the costs of bankruptcy for debtors by providing that the necessary publication could be made without charge on the website of the Insolvency Service, rather than by advertisements in national newspapers. The resulting saving for a person wishing to become bankrupt was estimated at up to €500.

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