Insolvency Service seeks claims for debt relief order fee refunds before year-end

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Debt relief order fee refunds

Highlights

The Insolvency Service is accepting refund claims for the former £90 debt relief order (DRO) fee paid between 2016 and April 2024 until the end of 2026.
Refunds will vary case by case, as some customers overpaid, paid in instalments, or made multiple incomplete applications, with verification to prevent fraud.
The £90 DRO application fee was removed in 2024, with the repayment scheme aimed at financially vulnerable individuals who may have previously sought bankruptcy alternatives.

Refund process and eligibility

As reported by GOV.UK, citing the Insolvency Service, customers who paid the former £90 debt relief order, DRO, application fee between 2016 and April 2024 but did not submit their application can ask for the money back before the end of 2026.

The agency says it has contacted affected individuals several times since November 2025, including letters sent in March, May and November 2025 and again in January 2026. It is urging anyone who believes they are due a refund to come forward because some contact details may have changed over the past decade.

Refund amounts vary by case. Some customers are due the full £90, while others may be owed more or less depending on whether they paid in instalments, overpaid or made multiple incomplete applications.

To request repayment into a bank account or building society account, customers are asked to email dro.preorder@insolvency.gov.uk with their application number if known, personal details and account information. Those who prefer a cheque can state that in their email, and claims will be checked against system records to prevent fraud.

Support for financially vulnerable customers

A debt relief order is an alternative to bankruptcy for people with less than £50,000 of personal debt, allowing them to make a fresh start. Applications are made through authorised debt advisers or charities, and the application fee was removed in 2024.

Caroline Shanahan, a senior leader in the Personal Insolvency Team at the Insolvency Service, says the agency wants to reassure people that the repayment offer is genuine and to return money owed as quickly as possible. She adds that many applicants may have been under financial pressure when they sought debt relief, increasing the importance of recovering the funds.

If an application fee was originally paid by a charity or another third party, the claimant should include that organisation's details when making contact. The Insolvency Service also says people whose names or addresses have changed since their application should provide both previous and current details to support verification.

UK Budget plans and John Healey’s pre-Budget stance were previously covered by our publication, highlighting how fiscal discipline and high debt-servicing costs were set to shape the Oct. 28 statement and constrain spending choices. We also noted signs of market strain in gilt yields and outlined policy signals aimed at supporting growth, jobs, and household finances amid tighter fiscal headroom.

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