In an extension to the existing insolvency practitioners’ licensing arrangements, ICAEW is to offer partial licenses following changes to insolvency rules
The new rules came into force from 26 March 2015 with the introduction of the Deregulation Act 2015 and Insolvency (Amendment) Act Northern Ireland 2016, which has opened up qualifying criteria for the authorised regulatory providers for insolvency, allowing ICAEW to expand its current licensing remit.
Partial licensing introduces two new types of licence to allow insolvency practitioners (IPs) to work on either purely corporate or purely personal insolvency cases. Under the new regime, a person may be authorised to act only in relation to companies; only in relation to individuals; or in relation to both. The new regime is intended to remove unnecessary barriers to entry to the insolvency practitioner profession and improve competition. It will also reduce the cost of training for applicants who wish to specialise.
Deregulation Act 2015 includes an amendment to Part 13 of the Insolvency Act 1986 to introduce a new regime for the partial authorisation of insolvency practitioners. Under the old system, individuals who were authorised to act as an insolvency practitioner were authorised in relation to all categories of appointment.
From 1 July, ICAEW will begin formally accepting applications from those wishing to obtain a partial licence.
Bob Pinder, ICAEW regional director, said: ‘Through the introduction of partial licenses, those who wish to specialise in personal or corporate insolvency will be able to share those benefits. Insolvency firms who choose ICAEW as their single insolvency regulator will, therefore, ease the regulatory burden by dealing with only one regulatory professional body.’
ICAEW is the largest single insolvency regulator in the UK, licensing some 770 of the UK’s 1,700 insolvency practitioners as a Recognised Professional Body (RPB). An ICAEW licensed IP is able to advise on, and undertake appointments in, all formal insolvency procedures including, liquidations, company voluntary arrangement, administration, receiverships, bankruptcy and individual voluntary arrangements.
Applicants can register their interest in advance of that date by emailing Teresa Doody
Details on applying for ICAEW insolvency practioners licence are avaialable here
The guidance notes on Dergulation Act 2015 are available here