Neil Morrissey 'agrees to IVA to repay £2.5m debt'
Actor Neil Morrissey has entered into an individual voluntary agreement (IVA) to clear debts of £2.5 million after a business venture collapsed, according to a report.
The Men Behaving Badly star told the News of the World he was left millions of pounds in debt after his portfolio of luxury hotels failed to perform and banks began recalling the loans.
Morrissey told the paper: "All of a sudden everyone wants their money back. And the credit crunch certainly didn't help at all. A lot of banks wanted to recall, and certainly review, the nature of the loans.
"There's still an awful lot of people out there suffering because of the banks' attitude."
The actor, famous for being the voice of Bob the Builder, added: "Bankruptcy's the easy way out.
"I decided no, I'd step up to the plate, try to do the right thing and get everyone their money back.
"I feel morally obliged. Afterwards I'll feel better about myself."
Morrissey and his business partner set up a property company five years ago, buying pubs and hotels around the country, including Brown's Hotel in Laugharne, where Welsh poet Dylan Thomas was a regular.
But after the star's partner declared himself bankrupt, Morrissey was left with many of the debts.
In an IVA, the debtor will pay back more of the debt - typically between 40 per cent and 50 per cent - as opposed to bankruptcy where a minimum amount is repaid.
An IVA will also last longer, up to five years, while a debtor is branded bankrupt for 12 months before being discharged.
However, IVAs generally do not require individuals to sell their home as in the case of bankruptcy, and, unlike bankruptcy, those in an IVA can still act a director of a company or work other professions.
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