UK corporate insolvencies are rising, driven by spiralling inflation, widespread disruption in the supply of goods and labour and the withdrawal of UK Government Covid support schemes and other temporary pandemic protections from creditor pressure.

On 20 May, the Secretary of State for Business, Energy and Industrial Strategy (BEIS) introduced the Corporate Insolvency and Governance Bill to Parliament.

Voluntary measures to scrutinise pre-pack sales to connected parties have not been enough to alleviate creditor concerns, says the Government. A new regulatory framework governing connected party sales in administration will be put in place before the end of June 2021. Draft regulations were published on 8 October 2020.