(27 July 2012) The Insolvency Service has called upon the expertise of the Institute of Credit Management (ICM) and its Chief Executive Philip King to spearhead a review of insolvency legislation as part of the Government's Red Tape Challenge (RTC) initiative.
The review will enable anyone affected by insolvency to give their views on over 100 insolvency-related regulations, with the emphasis on identifying unnecessary, overcomplicated regulation that stifles business and economic growth. The regulations under review include insolvency legislation that sets out how insolvency procedures work; the obligations of insolvency office-holders and the disqualification regime. The only insolvency legislation excluded from the RTC is Fees Orders.
Business Minister Norman Lamb says that the ambition with the insolvency programme is to achieve a flexible and fair insolvency framework which encourages entrepreneurs and businesses to compete and grow successfully: "The Red Tape Challenge is a great way for the public and firms to tell us what is a nuisance or gets in the way of doing business effectively," he says. "The feedback we receive will allow us to build on existing projects to improve the insolvency regime."
Philip King says that he is pleased to serve as the 'sector champion': "I will be representing the interests not only of businesses and individuals overwhelmed by their debts, but also those impacted by insolvency, and how both parties can expect to benefit from better defined regulation," he says.
"The purpose of the Red Tape Challenge is to capture creative and practical ideas for removing regulations that serve no purpose, and simplifying those that need to be retained so that they can be better understood," Philip says. "The ultimate goal is to deliver a system that is transparent and in which all stakeholders can have confidence but is not bound up in regulations that add confusion rather than value."
The RTC is part of the Government's commitment to reduce the existing burden of regulation in the UK as part of its plan for growth. The programme is being driven by the Cabinet Office and the Department for Business, Innovation and Skills (BIS) and draws on the views of business, civil society and the public.
Regulations are grouped in themes and each theme is featured for a period of five weeks on the Cabinet Office website inviting comment from interested parties as to whether the regulations should be scrapped, simplified or achieved in a less bureaucratic way. The formal launch date is expected to be announced shortly.
The Institute of Credit Management (ICM) is Europe's largest credit management organisation, and the second largest globally. The trusted leader in expertise for all credit matters, it represents the profession across trade, consumer and export credit, and all credit-related services. Formed over 70 years ago, it is the only such organisation accredited by Ofqual and it offers a comprehensive range of services and bespoke solutions for the credit professional (www.icm.org.uk) as well as services and advice for the wider business community ( http://www.creditmanagement.org.uk/), including the acclaimed ICM/BIS Managing Cashflow guides.
For news, views and updates, follow the ICM on Twitter at http://www.twitter.com/ICMorg.
For further press information, please contact:
Sean Feast or Natalie Lane
Gravity Public Relations
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