Individual voluntary arrangement (IVA) protocol
The IVA protocol is a standard framework for dealing with straightforward consumer IVAs for providers and creditors.
Documents
Details
An individual voluntary arrangement (IVA) is an agreement between a person in debt and his/her creditors. It is a formal (contractual) agreement and can be as flexible as the individual’s circumstances allow.
The protocol aims to make the handling of consumer IVAs as straightforward as possible, supporting the valid public policy objective of providing debt relief for individuals in financial distress. Whilst also putting the person at the centre of this process, making it easy to understand along with the associated paperwork and the impact an IVA will have on their lives.
Standard framework
The IVA protocol is a standard framework for dealing with consumer IVAs. It applies to both IVA providers and creditors.
By accepting the content of the protocol, IVA providers and creditors agree to follow the processes and agreed documentation that form part of the protocol. Using it to draw up proposals based on the standard documentation that follows the protocol.
Creditors are expected to abide by the terms of the protocol in relation to proposals drawn up on that basis.
Consumer IVAs
A person suitable for a straightforward consumer IVA is likely to be:
- be in receipt of a regular sustainable income other than State benefits or State pension
- have multiple debts with a combined total of £7,000 or more
- have uncomplicated assets
- not otherwise be able to repay their debts in full within the proposed IVA period
- not be eligible for a debt relief order.
Operation of the IVA protocol
The IVA Standing Committee was set up to meet regularly and provide information about the operation of the IVA Protocol, in particular:
- how it interacts with the IVA regime generally
- to identify problems/issues arising in the operation of the Protocol at an early stage
- to act as a discussion forum for stakeholders and ensure that information concerning the operation of the IVA regime generally and particularly Protocol cases can be effectively shared and discussed
- to review periodically the Protocol and its standard terms and conditions to ensure they are fit for purpose and to make any changes that are needed
IVA Protocol 2021
You can access the IVA Protocol 2021 and associated documents for reference.
Updates to this page
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A new version of the IVA Protocol 2025 has been published, along with all the annexes following the IVA research report that was published at the end of 2024. This includes the publishing of a new IVA factsheet for consumers and withdrawal of Annex 4.
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Update to the following bullets in Annex 3 A Debt Relief order is not available to you because [insert at least one]: you are a homeowner. your debts are more than £30,000. you have more than £75 of spare income every month. You own a car worth more than £2,000 and it’s essential you keep it . Non-essential things that you own are worth more than £2,000. Update to annex 4 para 6.2 changing 'at month 48' to 'at month 54'.
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Changes to IVA protocol 2021 specifically to amend the approached to equity in a few key areas and the option 3 related paragraphs in both the protocol itself and the annex documents. Changes to make the approach to redundancy payments more easily understandable by all parties and some minor additions of paragraphs that IPRS omitted from the first version.
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IVA protocol 2021 published
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IVA protocol 2016, published
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First published.