Corporate Insolvency and Governance Act 2020

Spurred on by the coronavirus (COVID-19) pandemic and a desire to mitigate the effect on businesses of the government-imposed lockdown, the government published the Corporate Insolvency and Governance Bill on 20 May 2020. The Bill received Royal Assent on 25 June 2020, resulting in the Corporate Insolvency and Governance Act 2020 (CIGA 2020).

The government previously consulted on proposed changes to the UK’s insolvency regime in 2016 and published its response on 26 August 2018 (see News Analysis: Exploring the government’s response to the insolvency and corporate governance consultation). See also Practice Note: Reform of UK insolvency laws.

CIGA 2020 largely follows the conclusions set out in the government’s response, together with temporary provisions to mitigate the effect on businesses as a result of the coronavirus lockdown.

The main changes of interest to