Restructuring Roundup UK

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Here is our summary of key developments relevant to restructuring professionals that you might have missed, with links for further information.

As promised in our last newsletter, our Quick Guide to Insolvency Claims has now been published.
Does the act of closing out preadministration customer contracts create a liability expense? For reasons explained in this blog, they did not in the case of Conway and others v. Plass and others [2025] EWHC 2625 (Ch) but there could be situations where it might.
On insolvency, the pari passu principle applies, which is why a creditor who has not completed enforcement proceedings in respect of a judgment debt – for example, by obtaining a final charging order – cannot usually complete that process. However, in Stacks Living Ltd & Ors v. The Official Receiver & Anor [2025] EWHC 2478 (Ch) (08 August 2025), the court made an interim charging order final notwithstanding intervening bankruptcy. This blog explains why the court allowed this – and why this decision will also apply to liquidations.
Watch out for Christmas Eve! The courts are closed on this date, and although this will not stop filings being made using ce-file, it is likely to impact the appointment of administrators in one of a few ways. The miscellaneous insolvency practice direction will likely mean that Notices of Intention (NOIs) and Notices of Appointment (NOAs) will not be endorsed on that day – the courts are not open for business, but it is still a “business day” within the definition of the Insolvency Act 1986; therefore how does that factor into the timings when calculating the period of any moratorium or serving the NOI? This is not a headache you want if there is an urgent appointment. Think about it now or speak to one of the Restructuring & Insolvency team.
Claims under the Building Safety Act 2022 and who pays is very relevant when managing a potential restructuring of a construction business. Our construction colleagues discuss a recent case where the court considers whether liability for cladding remediation costs could be passed on to leaseholders.
This recent decision confirmed that the appointment of a provisional liquidator engaged TUPE Regulation 8(7), which meant that employees did not transfer in circumstances where employees dismissed by the liquidator were employed by a new company that recommenced production post liquidation and employed staff that were formerly employed by the liquidated company.
And while on the topic of employment – a helpful reminder that, as from 30 November, HR1 forms (required where employers are proposing to dismiss 20 or more employees from one establishment) must now be completed digitally.
The path of cross-border recognition of Restructuring Plans remains bumpy. The US court recently recognised the plan sanctioned by the UK court in relation to the restructuring of Fossil, but earlier this year, the German court refused recognition of Aggregate’s restructuring plan in respect of German governed debt. This may not be the last of that matter, as our colleague Jens Rinze reports.
From 1 January 2026, businesses that run consumer savings schemes, such as Christmas savings clubs, must protect customer payments and provide clear information about how they are safeguarded. It is aimed at protecting funds in the event of insolvency. This guidance explains what the new requirements are.
The Pensions Regulator (TPR) has published a regulatory intervention report in relation to the Boxclever Group Pension Scheme. TPR says it is the first time it has used its antiavoidance powers under Section 47 of the Pensions Act 2004 (which allows for the issue of a contribution notice for failure to comply with a financial support direction). In exercising these powers, it expects that all members of the pension scheme will receive their benefits in full.
Worth noting is R3’s proposal to amend the Insolvency Rules to introduce a statutory fee for CVLs. This is aimed at overcoming hurdles that an IP can sometimes face in getting necessary creditor approval for fees leaving them with the only option of applying to court.
England is amongst one of the first countries in the world to confirm in law that digital assets – such as cryptocurrency or non-fungible tokens – can now be recognised as personal property. This will mean that they will be treated like traditional assets, as such they can be transferred, realised or recovered in insolvency proceedings in the same way as other traditional assets.
The Insolvency Service has added new guidance for IPs on requisitions for BACS payment, requisitions for dividend cheques payable to individual creditors, administration and administrative receivership – schedule of funds, requisitions for cheques, and creditors and members voluntary liquidation – schedule of funds. The Insolvency Service also reports on additional funding announced in the budget to tackle rogue directors.
We are proud to announce that we have once again been included in GRR 100, recognising the work which the R&I team has done in “managing complex, multi-jurisdictional restructurings and contentious insolvency matters”. For details of our global team and experience more generally, see our capabilities guide.
We are delighted to welcome two new Restructuring & Insolvency partners to Squire Patton Boggs. Deborah Brown, formerly of DLA Piper, has joined our Birmingham office, bringing extensive experience advising clients on complex commercial and restructuring matters, further strengthening our capabilities in the UK generally and the Midlands in particular. Katie Catanese joins our New York office. Katie, formerly Vice Chair of the Bankruptcy and Restructuring Practice at Foley & Lardner and Vice President - International of the American Bankruptcy Institute, advises financially distressed companies, creditors, investors, and funds in complex domestic and cross-border proceedings.
Finally, the Restructuring & Insolvency team would like to round off the year by wishing you a joyful festive season. Thank you for your continued support and we look forward to working together in 2026!