British Home Stores: Insolvency

(asked on 25th April 2016) - View Source

Question to the Department for Business, Energy and Industrial Strategy:

To ask Her Majesty’s Government whether they will establish an inquiry into the circumstances surrounding BHS being placed in administration, and in particular in to the implications for employees, pension scheme members and creditors.


Answered by
Baroness Neville-Rolfe Portrait
Baroness Neville-Rolfe
Minister of State (Cabinet Office)
This question was answered on 3rd May 2016

When a company enters administration, the administrators have to report to my right hon. Friend the Secretary of State for Business, Innovation and Skills within three months on the conduct of the directors.

In the case of BHS the Insolvency Service is making early contact with the administrators to discuss the directors’ conduct and to consider whether further steps, such as a detailed investigation, may be necessary.

Where misconduct is established it can lead to disqualification of a director for between 2 and 15 years.

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