Statute Barred Debt & Write-Off Guide UK 2025 — When Old Debts Can No Longer Be Enforced
Old debts do not last forever. Under the Limitation Act 1980, most consumer debts become statute barred after 6 years of no payment and no written acknowledgement. Once statute barred, the creditor cannot obtain a County Court Judgment. This guide explains the rules, what can reset the clock, and how to respond to old debt collectors chasing time-expired debts.
Statute barred periods: consumer debts 6 years (Limitation Act 1980 s.5); mortgage shortfall 12 years; CCJs 6 years for enforcement without court permission. Debt on credit file: 6 years from default date (separate from Limitation Act). NEVER make a payment or written acknowledgement to a potentially statute barred debt without taking advice first — it resets the clock.
Limitation Periods for Different Debt Types
| Debt type | Limitation period | Clock starts |
|---|---|---|
| Credit cards, loans, overdrafts | 6 years | Date of last payment or written acknowledgement |
| Utility bills | 6 years | Date bill became due |
| Council tax | No limitation (council tax is not subject to Limitation Act) | N/A — can be enforced indefinitely |
| Mortgage shortfall (after repossession) | 12 years (capital); 6 years (interest) | Date of repossession or last payment |
| County Court Judgment (CCJ) | 6 years from judgment (enforcement without permission) | Date of judgment |
| Student loans | Not subject to Limitation Act (special regime) | Deducted through PAYE or direct payments |
| HMRC / tax debts | Not subject to Limitation Act for most taxes | HMRC can pursue indefinitely (subject to assessment time limits) |
What Resets the Statute Barred Clock
Two events reset the limitation clock completely:
- Payment — any payment to the creditor (even a £1 token payment) resets the clock to the date of that payment. The 6 years starts again from scratch.
- Written acknowledgement — any written communication in which you acknowledge you owe the debt. This includes letters, emails, and texts. It does NOT include verbal acknowledgements. The written acknowledgement must be made by the debtor themselves (not just their solicitor writing to say the debt is disputed).
Critical warning: never make a payment to a creditor on an old debt without taking advice first. Even a small payment to stop contact can reset the clock on a debt that was about to become statute barred. Equally, never write to acknowledge a debt without understanding what this does to the limitation period.
Responding to Debt Collectors
If a debt collector contacts you about a debt you believe may be statute barred, there are specific steps to take. Do not ignore the contact — a court claim needs a response. The recommended approach for a potentially statute barred debt is:
- Send a written response stating you are not acknowledging the debt and requesting evidence of the date of last payment and last written acknowledgement.
- Do not pay or promise to pay anything.
- If you receive a court claim form (N1), respond immediately by filing a defence raising the Limitation Act — the court will not automatically dismiss a statute barred claim without your defence.
Frequently Asked Questions
A creditor CAN still issue a claim — but you have a complete defence if the debt is statute barred. You must file a defence form (N9B) with the court raising the Limitation Act 1980 within 14 days of receiving the claim (or 28 days if you acknowledge service). Do not ignore the court claim form even if you are certain the debt is statute barred. Many creditors issue claims hoping the debtor will not respond, resulting in a default judgment.
Debts can be written off by the creditor voluntarily (rare but happens in hardship cases). Under the MALG Creditor Guidance, creditors should consider writing off debts where: the debtor has a serious illness or disability making repayment impossible; the debtor has been in severe financial difficulty for a long time with no prospect of improvement; or pursuing the debt would be disproportionate. Contact your creditor in writing with supporting evidence. Free debt charities (StepChange, National Debtline) can assist with write-off applications.