With traditional retail on its knees and hospitality and leisure in melt down, the Corporate Insolvency and Governance Bill (CIGB), which was presented to Westminster on 20 May 2020 is very welcome and should greatly aid a range of business. And indeed every company director should make themselves aware of these changes, just in case they are ever needed.
In recent weeks we have seen the introduction of various measures to support businesses and individuals through the short and medium term, and the CIGB builds further on these foundations. The bill will be fast tracked and should be introduced at the beginning of June.
Why the need for new Insolvency legislation?
The government backed schemes are all intended to support businesses through the lockdown, and recognising that the effects on businesses will be significant, the CIGB further supports these measures. Businesses have been left with no, or severely restricted incomes, and it is extremely difficult to plan ahead in the face of the uncertainty brought about by the pandemic. These additional measures have been introduced to assist businesses to emerge functioning at the other side of lockdown. Some measures are temporary and very specific to the COVID-19 lockdown, and others permanent and overdue for introduction.
What are the Temporary Measures?
What are the Permanent Measures?
How does all this impact me / my business?
Overall, it’s our view that these changes, both temporary and permanent, will provide companies with more options in order to get through this period, and indeed other tough environments they may encounter.
However, the imperative is very much on the Directors of companies to both be aware of the options, AND seek help and assistance in enough time and before it is too late.
If you’d like to discuss any of this, or you have any concerns over your own business debt, please speak to one of our restructuring team as soon as possible. More information and contact details for members of the team can be found on our Business Restructuring page, or you can call and speak directly to:
Whilst some of our staff are currently working from home, all of the above can be contacted on their email addresses or on 0141 221 2984.
They are there to help if you need it.
Other COVID-19 Information:
For all our help, support and information around COVID-19 / Coronavirus visit www.frenchduncan.co.uk/covid-19.
Here you can link to articles covering deferral of HMRC payments, new business rates & tax, business loans available (what we know so far, who will be eligible and how they might work), a 10 Step Guide to the Job Retention Scheme (plus a guide specific to holiday allowances within that) and even Top Tips on how to keep your personal finances healthy during this time.
We’ll keep these updated as things change, so remember to check back regularly. And we’ll be getting more written on other topics as soon as we can.
It’s just our way of trying to help.
French Duncan. #thepeopleforyou