Insolvency regime consultation launched

The Department for Business, Innovation and Skills has launched its Consultation on Developing an Insolvency Regime for the Sector. In response to the launch of this consultation, Julian Gravatt, Assistant Chief Executive of the Association of Colleges (AoC), said: “It will be helpful to have more legal certainty in case of any further education and sixth form colleges becoming insolvent. The Special Administration Regime proposed will help to protect college students by safeguarding the continuity of services run by organisations that are independent of the Government. “These plans won’t be realised for at least two years and reassurances will need to be sought through the consultation over the extent of protection for students and other potential technical issues. “We will work with the Government to ensure the insolvency regime provides all students and colleges with the best possible degree of protection.” A detailed commentary on the plans is available here