Martin Heydon (Kildare South, Fine Gael)
Link to this: Individually | In context | Oireachtas source

351. To ask the Minister for Justice and Equality if she is satisfied with the current numbers seeking bankruptcy under the new legislation; her future plans to review the three-year term for bankruptcy; and if she will make a statement on the matter. [8259/15]

Frances Fitzgerald (Dublin Mid West, Fine Gael)
Link to this: Individually | In context | Oireachtas source

There has been a significant increase in the number of seriously indebted persons seeking bankruptcy by self adjudication since the reduction of the automatic discharge period from twelve years to three.

There were four hundred and forty eight (448) bankruptcies during 2014 compared with fifty eight (58) in 2013. It is expected that this increasing trend will continue.

There has also been a significant reduction in the application costs for bankruptcy. The total cost of applying for bankruptcy is now approximately €270. The cost in 2013 would have been in the region of €1400.

These measures along with the removal of application fees for those wishing to avail of one of the alternatives to bankruptcy under the Personal Insolvency Act 2012 mean that there is now a full suite of viable solutions for people struggling with unsustainable debt, in order to restore them to solvency.

Following a commitment in the Statement of Government Priorities 2014-2016, my Department completed a review of the personal insolvency legislation in December 2014. As I have already informed the Dáil, I am currently considering the outcome of the review and intend to bring proposals to Government shortly for such legislative amendments as may be considered appropriate regarding the suite of solutions available to people struggling with unsustainable debt.