Definition

Priority debt

Priority debts are debts where the consequences of not paying can be most serious — such as losing your home, having your energy supply cut off, or going to prison. These should generally be addressed before non-priority debts.

Example

Rent arrears, council tax arrears and court fines are priority debts. Credit card debts and personal loans are generally non-priority debts.

Common misunderstandings

Priority does not mean the debt is necessarily the largest — it refers to the severity of consequences for non-payment.