LONDON, Nov. 26 -- The government of the United Kingdom issued the following news:
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Chancellor Rachel Reeves announced funding boost for the Insolvency Service
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The government will invest £25 million over the next five years to enable the Insolvency Service to disqualify more rogue company directors
The Insolvency Service has welcomed newsin theBudget that the agency will receive an extra £25 millionover the next five yearsto help ittackle rogue directors.
The funding announced by the Chancellor today will funda new Abusive Phoenixism Taskforce which will be staffed by 50 people investigating suspicious company insolvencies.
The service's Director of Investigation and Enforcement Services, Dave Magrath,said:
This is welcome funding which will help the Insolvency Service tackle rogue directors who abuse the insolvency regime to get out of repaying their debts andkeepassets which are not theirs.
It willallowus to disqualify more directors who are notfulfilling their roles responsibly,which will help us to support legitimate businesses and protect consumers.
The funding will be used to investigate directors who deliberately liquidate or dissolve their companies to evade tax and write off their debtsthrough practices such as abusivephoenixism.
This is part of a widergovernmentcrackdown on crime in themarketplace already underway, including expanding right to work checks to the gig economy, sub-contracted and self-employed workers, a crackdown on shops selling counterfeit tobacco and vapes, and seizing criminal cashsothatitcan be reinvested into communities.
In 2024-25, the Insolvency Service secured 77 criminal convictions,more than1,000 director disqualifications, and wound up 41 companies in the public interest.
The agency also launched a newfive-yearinvestigation and enforcement strategyin July 2025, with plans to play a more prominent role in the fight against economic crime and be recognised as the UK's leading authority in enforcing corporate and insolvency standards.
Disclaimer: Curated by HT Syndication.
