Financial and legal troubles are plaguing Katie Price for the second time since November 2019, as she’s again facing bankruptcy.
To further complicate the issue, her income from the popular short-form media platform TikTok was recently suspended by the court.
Read ahead to find out the reasons behind this decision and what it means for the TikTok content creator, who is financially dependent on the platform.
What Caused Katie Price’s Bankruptcy?
Media has covered various aspects of Katie Price’s financial troubles. In several reports her spending habits and unpaid taxes are cited as the reasons behind her bankruptcy.
To be more specific, her first bankruptcy declaration happened in 2019 due to unpaid debts. Following this, she was focused on repaying what she owed through her earnings from various sources.
Unfortunately, despite attempts to stabilize her finances, she was again found in a similar situation in March 2024. This led to her second bankruptcy declaration over an unpaid tax bill of £761,994.05 ($998,463.66 approx).
Due to the repetition of financial mismanagement, her debts and obligations have only become more difficult. Her lack of appearances in court has also encouraged the legal system to take action and make sure she repays her debt.
Why Did the Court Suspend Katie Price’s TikTok Income?
In a recent ruling, the court decided to suspend Katie Price’s TikTok income, which made people curious about the reasons.
This decision came after her OnlyFans income was subjected to a court order requiring her to pay 40% of her earnings from the platform towards her debts until February 2027.
The court extended this order to her TikTok earnings to meet her financial obligations. The suspension is likely to continue until her TikTok earnings are properly managed and used to address her debts.
The Legal Complications and TikTok’s Statement
One of the key issues in this case is the complexity of TikTok’s payment systems. Unlike other straightforward income streams, TikTok’s payments to content creators involve varied transactions, including commissions, one-time payments, and earnings from campaigns.
For example, the price received was £84,000 ($110,090.82 approx) from TikTok for creating e-commerce content and other smaller payments. These diverse income sources made it challenging for the court to immediately apply the same order that was used for her OnlyFans income.
TikTok’s representatives have expressed willingness to comply with the court’s orders while highlighting the difficulties in implementing the necessary changes. Therefore, the suspension of payments was selected as an appropriate solution for the time being.
How Will This Ruling Impact Katie Price’s Financial Future?
The suspension of TikTok income is a significant setback for Katie Price. Once a glamour model worth £40m (over $52m), her net worth has currently crashed to £1m ($1,308,644 approx). Due to this, she is dependent on the platform where she entertains over 1.6 million followers.
Now, as the suspension is going to limit her revenue from this key income source, it is evidently going to impact her lifestyle and her financial future.
A glimpse of this is visible through her selling of her Mucky Mansion for £1.5m ($1966095 approx), which she purchased for £1.3m in 2013. Over the years, Price has been vocal about her dislike for the place, claiming that it is cursed and would only bring bad luck to its owner.
However, she is still hopeful about her other ventures, including her eighth autobiography, “This Is Me: The High Life. The Dark Days. The FULL Story”, an upcoming documentary series about her life and another on correction surgeries, as well as myriad of reality TV appearances
Katie Price’s Reaction
Despite these challenging circumstances and the public scrutiny they could invite, Price has remained calm. She has stated that she isn’t ashamed of her circumstances and is doing what she can.
In an interview with MailOnline, she also expressed the relief of selling the 19-bedroom Murky Mansion and renting out a four-bedroom home in West Sussex for approximately £5000 ($6,553.55 approx) per month.
Following the latest ruling, more eyes than ever are awaiting Katie Price’s next court hearing, where she has been asked to be present “without any ifs and buts” by the judge.
