Industry sources believe the bill will enter parliament early this month despite the fact that many new suggestions have come forth in just the last few months.
They said Dover’s proposals – thought to be designed to make it more difficult for insolvency practitioners to ‘hold large manufacturers to ransom’ over sole suppliers – have no chance of being heeded by the Department of Trade and Industry.
Land Rover said Dover had not spoken to the DTI.
But some IPs believe the bill will be ‘half-baked’ as some principles in it remain unclear. They said it seemed the government was rushing the bill through, reacting to criticisms on the delay of this ‘flagship’ bill.
Tony Supperstone, head of the business recovery division at BDO Stoy Hayward told Accountancy Age: ‘There are still a lot of uncertainties, especially surrounding the administration position. They all need to be clarified.
Many find it difficult to believe the government has listened to insolvency experts about the proposed bill as it includes controversial measures which most IPs believe are unfavourable to the rescue culture.
Nick Hood, partner at Begbies Traynor, said: ‘We are concerned that, in the interests of encouraging entrepreneurship, the government may have tipped the balance too far against other businesses who will lose out when companies fail.’
The second largest improvement in ‘significant’ levels of financial distress since the EU Referendum was in professional services, found research from Begbies Traynor
Steve Absolom and Will Wright from KPMG Restructuring have been appointed joint administrators to City Motor Holdings and associated companies
Partners from Johnston Carmichael have been appointed as joint administrators to Axon Well Interventions Products UK
Begbies Traynor have been appointed administrators of William Anelay Ltd, York, one of Britain’s longest-established construction and heritage restoration companies