Brexit & EconomyPoliticsGovernment to step in to save retailers

Government to step in to save retailers

Government expected to alter insolvency rules to reverse a court ruling that threatens troubled retailers with liquidation.

The Insolvency Service gave its
first indications this week that it could attempt to reverse the adverse impact
the Trident ruling could have on the business rescue culture in England and
Wales.

In the Trident case Justice David Richards said policy dictated that business
rates for both occupied and unoccupied properties should rank as an expense in
an administration.

The profession bemoaned the decision, warning that the upshot of the extra
cost could be businesses entering liquidation rather than being saved.

‘We are presently in the process of considering the likely implications of
the judgment with a view to assessing what remedies may be available to remove
or mitigate any consequent damage to the rescue culture,’ said an Insolvency
Service spokeswoman.

‘We would certainly not want the rescue culture fostered by the new style
administration regime to be jeopardised, if that indeed were to be the effect of
the judgment.’

Related Articles

5 key takeaways from Theresa May’s Florence speech

Brexit 5 key takeaways from Theresa May’s Florence speech

3m Alia Shoaib, Reporter
UK at risk of Brexit talent brain-drain

People Practice UK at risk of Brexit talent brain-drain

3m Alia Shoaib, Reporter
Brexit essentials: this week's round-up

Politics Brexit essentials: this week's round-up

4m Alia Shoaib, Reporter
Government publishes post-Brexit customs arrangements policy paper

Politics Government publishes post-Brexit customs arrangements policy paper

4m Alia Shoaib, Reporter
Italy grants first successful non-dom status application to former UK non-dom

Personal Tax Italy grants first successful non-dom status application to former UK non-dom

4m Emma Smith, Managing Editor
Increased government spending partly offset by high tax revenue

Governance Increased government spending partly offset by high tax revenue

5m Alia Shoaib, Reporter
Less than a third of UK businesses have made formal Brexit plans

Politics Less than a third of UK businesses have made formal Brexit plans

5m Alia Shoaib, Reporter
Nicky Morgan elected Chair of the Treasury Committee

Politics Nicky Morgan elected Chair of the Treasury Committee

5m Alia Shoaib, Reporter