PracticeAccounting FirmsToo many IPs for too few jobs

Too many IPs for too few jobs

Students will struggle to find work in insolvency

The insolvency profession could be indundated with qualified professionals
but there may not be enough work to go around, experts have warned.

An influx of students sitting insolvency exams is reaching record levels but
already qualified professionals are struggling to find profitable work, despite
the recession and high levels of business and personal bankruptcy.

“It is already becoming difficult to find work out there for IPs,” said Mark
Sands, head of bankruptcy for Tenon.

“There are approximately 70,000 bankruptcies and just 5,000 have assets,” he
added.

The growing popularity of renting rather than buying property could reduce
assets in a company administration or personal insolvency, explained Sands.

“When there are no assets the official receiver will keep the case, meaning
there is even less work for the IP,” he added.

Joanne Wright, personal insolvency partner at Begbies Traynor, warned that a
qualification failed to guarantee a flow of work. “We may have more qualified
people but this doesn’t necessarily mean they will take appointments, as it
could be that there is not enough work to go round,” she said.

Insolvency Service statistics released earlier this year revealed 426 IPs
failed to take appointments, out of 1,701 licensed practitioners in 2008.

“In some ways the profession is caught between a rock and a hard place.

“Previously there was a worry there were not enough IPs and now there is a
worry that there could be too many,” Wright said.

More:

Another
insolvency practice is born

Related Articles

MacIntyre Hudson appointed trustee for bankrupt England goalkeeper

Accounting Firms MacIntyre Hudson appointed trustee for bankrupt England goalkeeper

3y Richard Crump, Writer
PwC faces $1bn lawsuit over bad MF Global advice

Accounting Firms PwC faces $1bn lawsuit over bad MF Global advice

3y Richard Crump, Writer
Government radically overhauls practitioners' rota system

Accounting Firms Government radically overhauls practitioners' rota system

5y Rachael Singh, Writer
Accountants racking up debts

Accounting Firms Accountants racking up debts

6y Rachael Singh, Writer
Mazars lines up PwC personal insolvency division

Accounting Firms Mazars lines up PwC personal insolvency division

7y Rachael Singh, Writer
PwC to sell personal insolvency practice

Accounting Firms PwC to sell personal insolvency practice

7y Rachael Singh, Writer
HMRC to lose £10m from Vantis collapse

Accounting Firms HMRC to lose £10m from Vantis collapse

7y Rachael Singh, Writer
FRP took on £11m of debt from Vantis

Accounting Firms FRP took on £11m of debt from Vantis

7y Rachael Singh, Writer