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I am considering an IVA, currently being in a DMP, where the debt to several of creditors is increasing, rather than decreasing.
I have income in the form of salary and pension from the Armed Forces, and my wife has a small state pension.
Are we allowed while in an IVA to run a business, and if so, what happens to the income from it, given that it may be of indeterminate value, and received irregularly?
Also, are we allowed to male any provision for saving?

Welcome to the Forum.

You can do an IVA and having a separate business is allowed - but any surplus income therefrom might have to be paid into your arrangement. Saving is a difficult one as creditors would expect all surplus and affordable income to be paid into your IVA. Visit www.iva.com to see reviews on practitioners that offer an IVA. Speak to one or two of them. You will get proper, free and appropriate advice. Let us know how you get on. Good luck.

You are allowed to have some savings, usually money left over from your other allowances. It just can't be vast amounts though.

I am interested to note that you are in a DMP but your creditors appear to be continuing to charge interest on their outstanding accounts. If you do decide that an IVA is a better way forward, this will be a good point for your IP to highlight within the proposal. What made you choose an IVA over a DMP in the first place?

Most IPs actively encourage their clients to set up savings accounts, in which you can set aside all of your contingency and irregular allowances to ensure that there are funds there to cover items such as car road tax and maintenance charges once they become payable. This can only be used for a modest level of savings however, and were you to be able to save significant amounts in the account, this would suggest that you have a higher disposable income and perhaps your payments to creditors would need to be increased.

Running a business, alongside your other activities is not usually a problem, however you would need to provide your supervisor with regular accounts for the business, and any profits you would generate (after making allowance for taxes due to HMRC) would have to be taken into account for the purposes of calculating your income - again potentially giving rise to higher payments into the IVA.