New insolvency reforms welcomed by ACCA | ACCA Global
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Dealing with insolvencies can be stressful for all involved, so it is important that a solid foundation exists for the process to run smoothly, and if it goes wrong, for the stakeholders to feel their issues are being addressed fairly and consistently
—Peter Large, exectutive director-governance, ACCA

Insolvency practitioners’ regulation will be made simpler, government announces

The government has announced a streamlining of the process for lodging complaints about insolvency practitioners, a move welcomed by ACCA (the Association of Chartered Certified Accountants0.

This is part of a package of reforms to how insolvencies are handled in Great Britain.

Peter Large, ACCA’s executive director – governance, commented: 'The government is streamlining the insolvency regulation process, and part of this will be the introduction of a single gateway for complaints about insolvency practitioners (IPs). This rationalisation will make the complaints process more transparent and easier for complainants to understand.'

Alongside the announcement of a single gateway for complaints, the government has also announced changes to other insolvency procedures, including reducing the number of meetings required during the insolvency process and streamlining the procedures by which IPs report misconduct by directors. 

Peter Large added: 'Dealing with insolvencies can be stressful for all involved, so it is important that a solid foundation exists for the process to run smoothly, and if it goes wrong, for the stakeholders to feel their issues are being addressed fairly and consistently. 

'For ACCA, the smooth resolution of complaints is central to maintaining trust and confidence, and to delivering public value. We have been pleased to work with the government, the Insolvency Service and other insolvency regulators on these changes.'

  • The Red Tape Challenge aims to scrap unnecessary regulation and simplify good regulation which protects consumers, employees and the environment. 
  • The Insolvency Service administers the insolvency regime investigating all compulsory liquidations and individual insolvencies (bankruptcies and debt relief orders) through the Official Receiver to establish why they became insolvent. The Service also authorises and regulates the insolvency profession; deals with disqualification of directors in corporate failures; assesses and pays statutory entitlement to redundancy payments when an employer cannot or will not pay employees; provides banking and investment services for bankruptcy and liquidation estate funds; and advises ministers and other government departments on insolvency law and practice.