Latest News Headlines
Commercial Credit News
|Brexit vote creates uncertainty for businesses and UK insolvency regime – R3|
|Friday, 24 June 2016|
Commenting on the decision by the UK to leave the European Union, Andrew Tate, president of UK insolvency trade body R3, says: “Leaving the EU will have a major impact on the way corporate insolvency works in the UK. The UK’s insolvency regime does not exist in a vacuum. It is entwined with rules on employment, tax, property, and more; and all of these are linked with European rules.”
“There will naturally be uncertainty for UK businesses and the decision to leave could create immediate problems for some. Businesses should seek out informed, professional, and regulated advice to help them navigate any uncertainties they encounter, and the sooner they seek advice, the more options they will have.”
“While domestic insolvency legislation itself is likely to be unaffected, the insolvency profession is involved in a lot of cross-border work in Europe. One key change is that it could become much harder to retrieve assets on behalf of creditors from across Europe. With some exceptions, once the UK leaves, a UK insolvency practitioner’s powers may no longer be automatically recognised elsewhere in Europe, nor will UK insolvency proceedings enjoy automatic recognition. New deals will need to be negotiated.”
“The decision to leave comes as the government is in the middle of renewing the UK’s corporate insolvency framework. This is an incredibly complex and important project, but there may now be some uncertainty around the future of this work. Some of the proposals have their origin in EU harmonisation programmes, while it’s not clear where insolvency reform will fit on the government’s agenda in the next couple of months.”
Forums International Ltd
Attendance at your first meeting is free of charge, and please quote reference 'CCR2016' to receive the special 10% discount off of your first annual subscription.
Find out more here.
The latest edition of CCR Magazine, the leading editorial publication in the UK credit industry, is out.
CCR is the premier magazine for consumer and credit professionals. It provides an independent voice to the industry, breaking major news stories and running in-depth features.
As a magazine, it works with and campaigns on behalf of the credit industry to promote its importance as a centre of potential profit and business development to the wider business world.
Providing information and analysis for thousands of senior credit professionals worldwide, every quarter.
GTS Media Ltd
81 Cambridge Road
Registered in England No: 05483197