There have been plenty of changes to insolvency legislation this year. The following are the latest coming into effect on 1 October 2015.
- Insolvency (Protection of Essential Suppliers) Order 2015 – inserts new s.233A into the Insolvency Act 1986 which expands the list of essential suppliers who cannot make supply conditional upon the payment of pre-insolvency invoices to include most IT businesses.
- Insolvency Act 1986 (Amendment) Order 2015 – increases minimum level of debt needed for creditors to commence bankruptcy proceedings from £750 to £5000 for petitions presented on or after 1 October 2015.
- Deregulation Act 2015 – several changes, including:
- A new regime for partial authorisation of Insolvency Practitioners.
- Authorisation of IPs by recognised professional bodies.
- Repeal of the Deeds of Arrangement Act 1914.
- The SoS may require information directly from any person in relation to the conduct of a potentially unfit director.
- Small Business, Enterprise and Employment Act 2015 – several changes including:
- Power for administrators to bring a claim for fraudulent or wrongful trading.
- Power for liquidator or administrator to assign causes of action.
- Application of proceeds of office-holder claims.
- Statement of Insolvency Practice 1 – new SIP1
- Insolvency Practitioners (Amendment) Regulations 2015 – Insolvency Practitioners’ record keeping simplified.
- Insolvency (Amendment) Rules 2015 – Approved fee estimates required where seeking to charge on a time cost basis.
For further information, help or advice please contact Andrew Cawkwell on 0191 211 7957 or [email protected].