A Restraint Order Has Frozen My Assets Before Trial: What Can Be Done?

What Can I Do Immediately if a Restraint Order Has Frozen My Assets?

Start by reading the order and contacting a solicitor experienced in proceeds of crime matters.

A restraint order can affect your bank accounts, property and business assets before you have been convicted. If payroll, mortgage payments or other essential expenses are approaching, explain those deadlines to your solicitor.

Do not move, sell or transfer restrained assets without permission. Breaching the order can amount to contempt of court and may result in imprisonment.

Read the order and identify existing exceptions

Some restraint orders already contain a weekly living expenses allowance when they are first made.

 Read the order carefully to establish what it already permits. If an allowance exists but is insufficient for your actual costs, that is the starting point for a variation application. 

If the restraint order contains no allowance at all, a variation application will need to address that gap from the outset.

Do not move or deal with any restrained asset

The scope of a restraint order is usually very broad. It commonly extends to bank accounts, property, vehicles, investments and business assets, including assets held in the names of third parties where the court considers those assets realisable. 

If you are uncertain whether a particular asset is covered by the restraint order, ask your solicitor to clarify this with the prosecution before you take any action.

Start gathering financial evidence straight away

Collect documents showing your essential expenses and business commitments.

These may include bank statements, business accounts, payroll schedules, mortgage payments, utility bills, invoices and outstanding creditor demands.

For example, if employee wages are due within days, prepare a record of the amounts owed and payment dates.

This evidence can help support an urgent application to release funds.

What Is a Restraint Order and How Can It Be Varied?

A restraint order is made by the Crown Court under the Proceeds of Crime Act 2002 to preserve assets that may be used to satisfy a future confiscation order.

It can be made before criminal charges are brought and does not require a conviction.

However, the prosecution must satisfy the legal conditions for obtaining the order.

How the order is made and what it covers

The restraint order usually applies to all realisable assets without limit, including assets you acquire after the order is made and assets held abroad or through third parties. 

The breadth of coverage means a restraint order can affect your ability to pay for ordinary daily life almost immediately.

Where an application is made without notice, prosecutors must provide the court with material information, including matters that may count against granting the order.

Failure to meet that obligation may provide grounds for challenging it.

The 2026 change: what the court must now find before making a restraint order

Since 29 June 2026, the law expressly requires the Crown Court to consider whether there is a real risk that relevant assets will be dissipated without a restraint order.

The court must examine factors including the nature of the assets, any steps taken to move them, the defendant’s circumstances and the stage of the proceedings.

This is separate from the requirement concerning suspected benefit from criminal conduct.

For example, the prosecution may need to explain why particular assets are at risk rather than relying solely on the seriousness of the allegation.

If your order was made after the change, a solicitor can examine whether the necessary findings were supported by evidence.

For older orders, the applicable law and circumstances at the time must also be considered.

How variation of a restraint order works in practice

The Crown Court has power to vary a restraint order to add, widen or narrow exceptions. A variation application must be supported by evidence. 

The court will consider whether the proposed variation is consistent with the purpose of the restraint order, which is to preserve assets rather than to punish the person restrained. 

Can I Request More Money for Living Expenses?

You can apply to increase an existing living expenses allowance or request one if the order does not provide for your essential needs.

The court will assess your circumstances and the money reasonably required.

What “reasonable living expenses” means in practice

Reasonable living expenses may include housing costs, food, utilities, necessary transport, childcare and insurance.

The court considers your previous standard of living, but it is not required to maintain spending supported by suspected criminal proceeds. For example, essential household bills may be allowed while expensive discretionary spending may not be.

The amount depends on your circumstances and the evidence provided.

What the court considers since the 2026 changes

Since 29 June 2026, the court must consider five statutory factors when deciding on an exception for living expenses.

These include how long the order is likely to remain in force, your standard of living, your financial means and the value of restrained assets compared with potential confiscation liability. The court also considers whether spending is needed to preserve or maintain the value of restrained property.

For example, maintaining insurance on a property may protect its value while the restraint order remains in place.

Evidence you will need to support an application to vary a restraint order

Prepare a breakdown of your essential monthly expenses with supporting documents.

This may include rent or mortgage statements, bills, bank records and childcare invoices. You should also explain what unrestrained income or assets are available to meet those expenses.

If your household cannot cover necessary costs without access to restrained money, the evidence should clearly demonstrate that shortfall.

Can Restrained Funds Be Used to Keep My Business Running?

The Crown Court can permit necessary business expenditure, but the payments must be justified and authorised. Business expenses are considered separately from ordinary household spending.

When business expenses may be released under a restraint order variation

The court may consider allowing payments needed to preserve a business or prevent unnecessary loss of asset value.

For example, you may need to pay employees, meet essential supplier obligations or maintain premises while proceedings continue. If failing to make those payments could lead to insolvency or serious contractual consequences, explain that risk in your application.

The court will consider whether the expenditure is necessary and whether it is consistent with the purpose of the restraint order.

What the court will and will not allow

Necessary operating expenses may be easier to justify than business expansion or speculative investment.

For example, paying existing employees to complete contracted work is different from using restrained funds to finance a new venture. If the business is alleged to have been involved in the offending, the court may examine proposed payments more closely.

The outcome depends on the evidence and the terms of the order.

Evidence needed to support a business expense application

Prepare recent business accounts, payroll records, supplier invoices and details of outstanding contracts.

You may also need to provide a cash-flow forecast showing what will happen if funds remain unavailable. For example, evidence that a missed payroll will lead to staff leaving and existing contracts failing may help explain why a payment is necessary.

A solicitor can help identify which expenses to prioritise and how to present them to the court.

Can I Access Restrained Funds to Pay Legal Fees?

Yes, the law now allows the court to make exceptions for reasonable legal expenses, including certain costs connected with defending the criminal proceedings.

However, access is not automatic. The 2026 reforms introduced specific provisions governing these exceptions.

The legal expenses exception to a restraint order: what it covers

The court can permit restrained funds to be used for reasonable legal costs, subject to statutory limits and conditions.

An exception for legal expenses connected with the relevant criminal offence must specify the total amount that can be released. The court must also ensure that the costs are reasonably incurred.

The court may limit the amount available or impose conditions on how the money is used.

Why legal aid should be considered alongside a restraint order variation application

Legal aid may be available for criminal defence work, depending on the circumstances and eligibility requirements.

You should discuss this option with your solicitor before assuming restrained funds must cover every legal expense.

Different funding arrangements may apply to the criminal case and separate restraint proceedings.

A solicitor can explain whether legal aid is available, whether a contribution is required and how that affects any application to release funds.

How to apply and what evidence is needed

A legal expenses application should explain the work required, the proposed fees and why access to the funds is necessary.

Supporting documents may include a solicitor’s cost estimate, details of available resources and information about legal aid. If your trial is approaching, explain any deadlines that make the application urgent.

A solicitor can prepare the request and address the statutory requirements governing legal expense exceptions.

What Happens to My Business Debts and Creditor Claims Under a Restraint Order?

A restraint order does not automatically cancel your business debts or contractual obligations.

Creditors may still pursue claims for money owed, and payment deadlines do not necessarily stop because assets are restrained.

However, enforcing a judgment against restrained property can raise separate legal issues. Creditors cannot assume that a civil judgment allows them to bypass the restraint order.

If your business becomes unable to pay debts as they fall due, insolvency proceedings may also become a concern.

Where liquidation or administration overlaps with a restraint order, questions may arise about who can control or deal with particular assets. These issues require advice covering both the criminal restraint proceedings and the business’s financial obligations.

Tell your solicitor about outstanding debts, threatened legal action and any risk of insolvency so that these matters can be considered alongside an application to vary the order.

How a Solicitor Can Help With a Restraint Order

A solicitor experienced in proceeds of crime matters can review the restraint order, check its legal basis and identify the payments already permitted.

They can examine whether the statutory requirements were met, including the risk of assets being dissipated, and advise on applying to vary or discharge the order.

If you need money for essential expenses, payroll or legal representation, a solicitor can prepare an application supported by the relevant financial evidence.

They can also advise on the effect of the restraint order on business debts, contracts and creditor proceedings. For business owners, the immediate priority may be securing permission for necessary payments without breaching the restrictions.

Speak to a Restraint Order Solicitor

If a restraint order has frozen your assets before trial and you cannot meet business expenses or pay for legal representation, obtaining advice can help you understand what funds may be released.

Ashmans Solicitors can review the order, assess whether it can be challenged and advise on urgent applications for living expenses, business payments and legal costs.