11 Jun 2025
Wbg, one of Scotland’s leading independent specialist full-service accountancy firms, has urged medical professionals across Scotland to consider the Debt Arrangement Scheme (DAS) as a discreet and regulated route to manage problem debt – particularly considering increasing pressure from creditors such as HM Revenue & Customs (HMRC).
According to Paul McDougall, Insolvency Practitioner at Wbg, with more doctors and dentists facing financial strain due to rising living costs, professional indemnity costs, and uneven private income, the DAS offers a lifeline that protects both personal reputation and professional registration.
“Some professionals in the medical field mistakenly believe that seeking formal debt help could jeopardise their career,” he said. “In fact, DAS is uniquely designed to preserve employability, protect assets, and avoid insolvency stigma – making it the ideal solution for regulated professionals.”
DAS allows individuals to repay their debts through a legally binding debt payment programme by freezing interest and charges and providing full protection from creditor enforcement.
For healthcare professionals, DAS offers the crucial advantage of avoiding formal insolvency such as sequestration or trust deeds, both of which can raise red flags with regulatory bodies like the General Medical Council (GMC) or General Dental Council (GDC).
Key benefits for medical professionals include: no professional restrictions; full asset protection; discretion and control; employer protection and mental health benefits through avoiding the anxiety and professional fallout often associated with earnings arrestment or court action.
“We’re seeing a marked uptick in HMRC taking enforcement action against medical professionals with tax arrears – even when they’re engaging in good faith to resolve the debt,” noted McDougall.
“DAS offers a lawful and fair alternative that protects the debtor and ensures HMRC still receives payment in full.”
While HMRC may object to DAS applications, its objection does not automatically block approval. The DAS Administrator has powers to deem a proposal ‘fair and reasonable’ and approve it in the interests of all parties.
“DAS remains the most appropriate route for professionals who want to repay their debts with dignity, without triggering regulatory consequences or reputational harm,” said McDougall.
“Doctors and dentists have dedicated their lives to caring for others – DAS gives them the structure and breathing space to take care of themselves.”
