Customers urged to claim debt relief order refund from the Insolvency Service before the end of the year

Thousands of people can claim money back after the £90 DRO application fee was scrapped 

The Insolvency Service has written to everyone affected, but some customer contact details may have changed since 2016 

Refunds totalling £450,000 are available for those who paid the fee but did not finish the DRO application process, going back ten years

People who paid for a debt relief order (DRO) but did not submit their application are being offered a refund by the Insolvency Service. 

Around £450,000 is available in refunds – and the Government agency is encouraging customers to make their claim before the end of the year. 

The Insolvency Service has written to affected customers several times since November 2025 with details of how to apply. It is hoping to return as much money as possible before the end of 2026. 

Caroline Shanahan, senior leader in the Personal Insolvency Team at the Insolvency Service, said:

We want to reassure customers that this is a genuine refund and we want them to claim their money back if it is due. 

We’ve tried to contact customers directly, but as the refunds go back 10 years, we know some people’s contact details may have changed. 

People applying for a DRO may have been struggling financially – hence needing debt relief – so we’re really keen to return money owed to them as soon as possible.

A DRO is an alternative to bankruptcy, allowing people to make a fresh start if they have less than £50,000 of personal debt. Applications for DROs are made through authorised debt advisers or charities. 

The £90 application fee for a DRO was scrapped in 2024. Customers who paid that fee for a DRO between 2016 and April 2024 but did not complete their application are eligible for the fee to be refunded.