Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, what assessment he has made of the adequacy of pre-pack administration procedures.

In 2021, the Government’s review of the effectiveness of the voluntary pre-pack sales in administration measures recognised that some improvements needed to be made. Regulations were subsequently made which provide for greater scrutiny to assure stakeholders that such sales are appropriate.

The regulations require connected parties to obtain an independent opinion on the purchase of a business and/or its assets where a pre-pack sale is proposed prior to its completion.

The Government keeps these regulations under regular review.