At the beginning of the week, it looked like the Bill might not be passed, as a last minute dispute arose between the government and the opposition over the roles of the chairman and chief executive at the Office of Fair Trading.

A compromise was eventually reached.

The controversial Bill had been yo-yoing between the Lords and the Commons for most of the session on Wednesday as MPs debated hundreds of amendments to the proposed regulations.

Insolvency practitioners feared the much needed insolvency reforms in the Bill would be indefinitely delayed if the Bill missed its deadline. According to current parliamentary rules, if the Bill did not get passed yesterday, it would have to be re-introduced in the new parliamentary session which begins next Wednesday.

R3 said would be disappointed if the Bill was shelved, as it had put substantial effort into transforming the legislation into 'the practicable and workable form it is today.' It said it had been in close contact with the Insolvency Service to ensure that parts of the Bill considered unworkable were amended.

President David Buchler, said: 'These amendments are a great result for British business. They will enable R3 members to rescue more businesses and get better returns for creditors. It would have been extremely disappointing to lose the legislation at this late stage.'