We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

Bankrupt businessman Sean Quinn. Julien Behal/PA

3,000 bankruptcy applications expected in 2014

This compares to just 58 people declared bankrupt last year, with new legislation which came into effect last month expected to cause a ‘significant increase’.

SOME 3,000 applications for bankruptcy are expected over the next twelve months, following the  commencement of new laws which came into effect from last month.

In response to a parliamentary question, Shatter said that when the legislation commenced, there was a total of 189 people who had been declared bankrupt by the courts. Of that number, 73 have been bankrupt for three years or more.

These people will be eligible for automatic discharge six months from the 3 December legislation commencement date.

In 2013 there were 58 people declared bankrupt in Ireland.

“I am advised that this calendar year, seventeen people were made bankrupt on their own application,” Shatter said. “Five of these self-adjudications were made following the recent amendments to the bankruptcy regime, namely the reduction in the bankruptcy term from 12 years to three”.

Given the reduced term, the minister said he anticipated “that there will be a significant increase in the number of bankruptcy applications”.

“A tentative estimate of the numbers expected to avail of bankruptcy over the next 12 months is 3,000,” he said.

Read: New bankruptcy rules to be signed into law by Minister Shatter today>

Read: Two more insolvency cases heard under new regime as 7,500 contact ISI>

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Your Voice
Readers Comments
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.