Under pressure from creditors? Start with a free conversation
When creditors are calling, letters are piling up and enforcement action is looming, it's hard to think clearly about long-term solutions. IndividualVoluntaryArrangements.net can talk you through how the Breathing Space scheme works, whether it could help you and how it fits with a longer-term solution such as an IVA.
Breathing Space must be started by an FCA-authorised debt adviser or a local authority. We'll explain how to get it in place and help you plan what to do with the time it gives you.
How we help when things feel urgent
- We contact you at the time you choose, including early evenings
- We explain the protections Breathing Space gives
- We help you plan what happens when the 60 days end
The Debt Respite Scheme, known as Breathing Space, is a government scheme in England and Wales. A standard breathing space lasts up to 60 days.
What does Breathing Space do?
- Pauses most enforcement action by creditors.
- Stops creditors contacting you about the debts included.
- Freezes most interest, fees and charges on those debts.
- Gives you time to get advice and choose a long-term solution, such as an IVA.
The two types of Breathing Space
Standard breathing space
Available to anyone with problem debt who meets the criteria. It lasts up to 60 days, and you must keep engaging with your debt adviser during that time.
Mental health crisis breathing space
Available to people receiving mental health crisis treatment. It lasts as long as the treatment, plus 30 days, with no fixed limit.
How to get a breathing space
You can't apply directly. A breathing space must be started by an FCA-authorised debt adviser, or by a local authority that provides debt advice. For a mental health crisis breathing space, an approved mental health professional must provide evidence.
Important things to know
- You must keep paying ongoing bills, like rent, mortgage and council tax, during a breathing space.
- You can usually only have one standard breathing space in a 12-month period.
- Breathing Space doesn't appear on your credit file, but your existing debts and defaults still do.
- The scheme isn't available in Scotland, which has its own moratorium, or currently in Northern Ireland.
What happens when the breathing space ends?
A standard breathing space lasts up to 60 days. When it ends, the protections lift, and creditors can resume contact, add interest and charges, and take enforcement action again. So use the time well. The aim is to have a long-term solution, such as an IVA, a Debt Management Plan or a Debt Relief Order, ready or underway by the time the 60 days are up.
When you contact us, we'll talk through which long-term options are realistic for you, so you can make the most of the time a breathing space gives you.
Which debts does Breathing Space cover?
Most personal debts are covered, including credit cards, loans, overdrafts, council tax arrears and energy arrears. Arrears on your mortgage or rent are protected, although you must keep paying your ongoing mortgage or rent. Some debts aren't covered, such as student loans and certain court fines. Your debt adviser will confirm which of your debts are included when the breathing space is set up.
Can I use Breathing Space while an IVA is set up?
Yes. Setting up an IVA usually takes four to eight weeks, and a breathing space can protect you from creditor action during much of that time. It can be particularly useful if enforcement agents are involved or a creditor has started court action. You'll need to keep engaging with your debt adviser throughout, and keep up with your ongoing bills.
Signs you may need protection quickly
- You've received a notice of enforcement or a visit from enforcement agents.
- A creditor has issued a county court claim.
- Several creditors are contacting you every day.
- You're struggling to pay for essentials because of creditor demands.
Mental health crisis breathing space in more detail
A mental health crisis breathing space is available to people receiving mental health crisis treatment, which can include being sectioned or receiving crisis care in the community. An approved mental health professional must confirm that you're receiving treatment. The protection lasts for as long as your treatment, plus 30 days, with no fixed limit, and you don't need to engage with a debt adviser while it's in place. A carer, family member or professional can ask a debt adviser to start it on your behalf.
Will Breathing Space affect my credit rating?
A breathing space isn't recorded on your credit file and doesn't appear on the public Insolvency Register. Details are held on a private register that creditors can see. Your existing debts, missed payments and defaults will still show on your credit file as normal.
Can I get Breathing Space more than once?
You can usually only have one standard breathing space in any 12-month period. There's no limit on how many mental health crisis breathing spaces you can have. Because the standard scheme can't be used repeatedly, it's best used when you're ready to put a long-term solution in place.
Is Breathing Space available everywhere in the UK?
The Debt Respite Scheme covers England and Wales. Scotland has its own form of protection, known as a moratorium, and Northern Ireland has different arrangements. If you live outside England and Wales, free advice services can tell you what protection is available to you.
Getting help quickly
If you're under pressure, fill in the form at the top of the page and mention that your situation is urgent. We'll contact you at the time you choose and explain how to get protection in place and what to do next.
While you wait to hear from us, keep paying your priority bills, such as rent or mortgage, council tax and energy, if you can. Don't ignore letters from creditors or the court, and keep a note of any deadlines. If enforcement agents visit, you don't have to let them into your home for most debts, but you should speak to them calmly and explain that you're getting debt advice.