Breathing Space, officially the Debt Respite Scheme, started in England and Wales in May 2021. It gives people in problem debt time to get advice without interest, charges and enforcement piling up.
The short answer
- A standard breathing space lasts 60 days.
- Most creditors must freeze interest and charges and stop enforcement.
- You apply through a debt adviser, not directly.
- You can usually only have one standard breathing space every 12 months.
- A mental health crisis breathing space lasts as long as your crisis treatment, plus 30 days.
What does Breathing Space do?
While it’s in place, most creditors can’t add interest or charges, contact you to ask for payment, or take enforcement action such as court claims or bailiffs. You should still pay ongoing bills such as rent, mortgage and council tax if you can.
How do I apply?
You need to speak to a debt adviser authorised to offer Breathing Space. Free services such as StepChange and National Debtline can do this. Your local council may also be able to. The adviser checks you’re eligible and registers the breathing space with the Insolvency Service.
Which debts are covered?
Most personal debts are covered, including credit cards, loans, overdrafts, council tax arrears and rent arrears. Some aren’t, such as court fines, student loans and child maintenance.
What happens when it ends?
Your adviser should help you decide on a longer-term solution, such as a debt management plan, an IVA, a DRO or bankruptcy. For official figures on how many people use it, see our Breathing Space statistics.
Common questions
Does Breathing Space affect my credit rating?
The breathing space itself doesn’t appear on your credit file, but missed payments during it may still be recorded.
Is Breathing Space available in Scotland?
No. Scotland has its own moratorium, which gives six months’ protection through a money adviser.
Can I apply for Breathing Space online?
You apply through an authorised debt adviser, and many offer phone or online advice.
Does Breathing Space stop bailiffs?
Yes, for debts covered by the scheme, enforcement action must stop during the breathing space.
Getting help
You don’t have to deal with debt on your own. Free, impartial advice is available from MoneyHelper, StepChange and National Debtline. If you want to talk through whether a formal solution such as an IVA could be suitable, you can also get in touch with us.