Question to the Department for Business, Innovation, Science and Trade:

To ask the Secretary of State for Business, Innovation, Science and Trade, if the Department will review the effectiveness of the insolvency practitioner complaints system in cases where disciplinary action cannot provide compensation or resolve the underlying legal dispute.

The Insolvency Practitioner Complaints Gateway plays an important role in maintaining confidence in the insolvency regulatory framework. The complaints system provides a means of investigating concerns about the professional conduct of insolvency practitioners and, where appropriate, taking disciplinary action.

The regulatory process is distinct from determining legal disputes or providing financial redress. Where action is taken by an insolvency practitioner on behalf of an insolvent estate, it is for the courts to determine the outcome of legal disputes and whether financial redress is appropriate.

The Department has no plans to change the frameworks for financial redress where losses have been incurred as a result of misconduct by an insolvency practitioner.