Question to the Department for Business and Trade:

To ask His Majesty's Government what plans they have, if any, to implement stricter regulatory frameworks to discourage the formation and support of “zombie” companies that avoid bankruptcy only through cheap borrowing.

By their nature, so-called "zombie" companies do not present as such at the point of incorporation. It is primarily for banks and other lending institutions to consider the risks in lending to companies whose ability to repay debt may be in doubt. The UK maintains a robust regulatory regime over lending as well as a transparent company register framework which helps facilitate the flow of capital towards productive companies.