Breathing Space Scheme: How 60 Days of Protection Could Help You
Updated for 2026
What Is the Breathing Space Scheme?
The Breathing Space scheme — officially called the Debt Respite Scheme — is a government initiative that gives people struggling with problem debt a temporary period of legal protection from creditor action. During this protected period, most creditors must stop adding interest and charges to your debts, pause enforcement action, and stop contacting you about repayment.
The scheme was introduced in May 2021 and continues to help thousands of people across England and Wales each year. It is not a debt solution in itself — it does not write off or reduce what you owe — but it provides vital breathing room so you can get proper debt advice and explore which solution is right for your situation, without the constant pressure of creditor contact and escalating balances.
The Two Types of Breathing Space
There are two distinct types of breathing space available, depending on your circumstances:
Standard Breathing Space
This is available to anyone in problem debt who is working with a registered debt adviser. It provides up to 60 days of legal protection from most creditor action. During this period:
- Interest, fees, and charges on qualifying debts must be frozen
- Most enforcement action — including bailiff visits and new court proceedings — must be paused
- Creditors must stop contacting you about the included debts
- New county court judgments cannot be sought for qualifying debts
Mental Health Crisis Breathing Space
This is available to people who are receiving mental health crisis treatment. It lasts for the full duration of your crisis treatment, plus 30 additional days. There is no upper time limit — it continues for as long as you remain in crisis treatment. This recognises that people in a mental health crisis are particularly vulnerable and need extended protection from financial pressure.
The same protections apply as with standard breathing space, but the duration can be significantly longer depending on how long the mental health treatment continues.
Who Can Use Breathing Space?
To be eligible for standard breathing space, you must meet the following conditions:
- You must be an individual (not a business) living in England or Wales
- You must have at least one qualifying debt that you are struggling to repay
- You must not already be in a current insolvency procedure — this includes an active IVA, Debt Relief Order, or undischarged bankruptcy
- You must not have had a standard breathing space in the previous 12 months (this 12-month restriction does not apply to mental health crisis breathing space)
You cannot apply for breathing space directly. It must be applied for on your behalf by a registered debt adviser at an FCA-authorised organisation. This ensures the scheme is used by people who genuinely need it and are engaging with the debt advice process.
How to Apply for Breathing Space
The process is straightforward once you engage with a debt advice provider:
- Contact a debt advice service. Reach out to a free, regulated debt advice organisation. They will assess your financial situation and determine whether breathing space is appropriate for you.
- Your adviser registers the breathing space. If you are eligible, your debt adviser submits the application electronically on your behalf. Your creditors are notified and the protections begin immediately.
- You engage with the advice process. During the breathing space period, you must continue to work with your adviser. If you stop cooperating, the breathing space can be cancelled early.
The whole process is handled by your adviser, so you do not need to contact your creditors yourself at any point.
What Is Protected — and What Is Not?
Most personal unsecured debts can be included in a breathing space, including credit cards, personal loans, overdrafts, council tax arrears, utility bill arrears, rent arrears (in most cases), and hire purchase debts. The protections apply specifically to the debts included in your breathing space.
Certain debts and obligations are not covered by breathing space:
- Ongoing liability for council tax for the current year (though council tax arrears can be included)
- Court fines and criminal fines
- Child maintenance payments
- Student loans
Your adviser will be able to confirm exactly which of your specific debts qualify and which do not.
Your Responsibilities During Breathing Space
Breathing space is not a holiday from your finances. You have ongoing responsibilities during the protected period:
- You must continue to pay your ongoing bills as they fall due — breathing space does not pause your regular outgoings such as rent, mortgage payments, or utilities for the current period
- You must engage with your debt adviser and cooperate fully with the advice process
- You must inform your adviser of any significant change in your circumstances
If you fail to cooperate with your debt adviser, they can cancel the breathing space before the 60 days are up. This is rare, but it is important to stay engaged throughout the process.
What Happens After the 60 Days?
The breathing space period gives you protected time to explore your debt solution options with the help of your adviser. During those 60 days, your adviser should work with you to identify the most appropriate route forward — whether that is a Debt Management Plan, an IVA, a Debt Relief Order, or another solution.
At the end of the breathing space, the protection from creditor action ends. If no longer-term solution has been put in place, creditors can resume contact and enforcement. This is why it is crucial to use the 60 days productively by genuinely engaging with your adviser and making progress towards a plan.
For many people, breathing space acts as the gateway to a formal debt solution. For others, it provides enough time to negotiate directly with creditors and arrange manageable repayments informally.
Breathing Space and Mental Health
The mental health crisis breathing space is a particularly important provision for people at their lowest point. Financial stress and mental health problems frequently go hand in hand, and the cycle of creditor contact, threatening letters, and enforcement action can make it extremely difficult for someone in crisis to take positive steps.
If you are receiving crisis care from a mental health professional and you have problem debts, ask your doctor, nurse, or care coordinator whether mental health crisis breathing space might be appropriate. Your mental health care team or a debt adviser working with mental health services can help arrange this.
Is Breathing Space Right for You?
Breathing space is worth considering if you:
- Are being contacted by multiple creditors and feeling overwhelmed
- Are facing imminent enforcement action such as bailiffs or a county court judgment
- Need time to seek proper debt advice without the pressure of escalating interest and charges
- Are in a mental health crisis and need extended protection while receiving treatment
It is also worth knowing what breathing space will not do. It will not write off your debt, reduce your balances, or resolve your debt problem on its own. But as a protective breathing space — a pause that allows you to get organised, take advice, and plan — it can be an invaluable first step.
Find Out What Options Are Available to You
Everyone’s situation is different. Use our free fact-finder to see which debt solutions you may be eligible for — no obligation, no commitment.
For free, impartial debt advice you can contact Money Helper at moneyhelper.org.uk
The information on this page is for general guidance only and does not constitute financial advice. Always seek independent professional advice before making a decision about a debt solution.