The following are recent changes which are to be made to the Insolvency regime:
- The Bankruptcy Petition limit for a creditor to present a petition is due to be increased from the current level of £750 to £5,000 in October 2015. This move is to avoid smaller creditors threatening the use of winding up procedures and seeing bankrupts declared bankrupt with minimal debts. This is also in relation to the rise of inflation, as the previous limit has remained unchanged for some years and has not taken into consideration rising prices and costs.
- Following on from the Graham Pre-Pack review there is to be a new SIP 16 considered to address the concerns raised. This is currently being considered by the Joint Insolvency Committee and will be revealed shortly.
- Parliament is expected to approve the Small Business, Enterprise and Employment Bill. This looks to strengthen the disqualification processes for directors, reform Insolvency law and the Deregulation Bill. The Deregulation bill is to remove unnecessary red tape in insolvency proceedings.
