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Corporate Insolvency and Governance Act 2020 (Coronavirus) (Extension of the Relevant Period) Regulations 2021

My Lords, as the Explanatory Memorandum states, this SI

“has been prepared by the Department for Business, Energy and Industrial Strategy”.

It goes on:

“This instrument makes provision to further extend the duration of some of the temporary measures introduced by the Corporate Insolvency and Governance Act 2020 … beyond their current expiration dates, namely: restrictions on the use of statutory demands and winding up petitions from their current expiry date on 31 March 2021 to 30 June 2021; the modifications to moratorium provisions and temporary moratorium rules from their current expiry date of 30 March 2021 to 30 September 2021; and the small supplier exemption from termination clause provisions from its current expiry date of 30 March 2021 to 30 June 2021. This instrument also extends provisions suspending liability for wrongful trading in the Corporate Insolvency and Governance Act 2020 (Coronavirus) (Suspension of Liability for Wrongful Trading and Extension of the Relevant Period) Regulations 2020 … made under the CIG Act, from the current expiry date of 30 April 2021 to 30 June 2021.”

The EM also states:

“The instrument is made using the powers given by section 20 and section 41 of the CIG Act to make regulations which amend or modify corporate insolvency or governance legislation, and to extend temporary provision in the CIG Act respectively and is subject to the made affirmative procedure … the Secretary of State must have considered the effect of the regulations on those likely to be affected by them. The Secretary of State must also be satisfied that the need for regulations is urgent, the regulations are proportionate, and that the same result cannot be achieved either without legislation or by using a different power. The Secretary of State must also keep the need for the regulations under review and revoke or amend them if appropriate. This power is being used to amend secondary legislation … The territorial extent of this instrument is England, Wales and Scotland.”

Thank you.

4.01 pm

About this proceeding contribution

Reference

812 c61GC 

Session

2021-22

Chamber / Committee

House of Lords Grand Committee
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