These are the findings of professional services and auditing firm, Mazars, which comments on the finance industry.
Bankruptcy Restrictions Orders (BROs) were issued to the 32 individuals, which prevents them from resuming gambling or “extravagant spending” for up to 15 years.
It is particularly noteworthy that, in light of recent calls demanding a greater push for responsible betting from both the UK Government and gambling operators, the Insolvency Service still expects individuals to uphold a level of personal responsibility.
Paul Rouse, Partner, Mazars, commented: “These restrictions are serious weapons in the Insolvency Service’s armoury. They are only used when an individual has ended up in bankruptcy because of their own reckless behaviour.
“People drawn into risky trading or gambling must be aware of the risks these orders pose – it is not just as simple as declaring bankruptcy and walking away from debts they have accumulated. Any individual that breaks these restrictions commits a criminal offence, risking fines or even a custodial sentence in the most serious cases.”
Mazars continues by predicting an increase in the number of BROs handed out in 2022, especially to those individuals who have fraudulently taken out loans to pay for gambling expenditure, fully in the knowledge they are unable to make the repayments.
A total of 108 BROs were handed out for this reason over the past 12 months, many of those individuals taking advantage of Covid-19 loan schemes backed by the Government.
The loss to the UK taxpayer from individuals such as these has been estimated at £5bn ($6.8bn).
