§ Mr. Austin MitchellTo ask the Secretary of State for Trade and Industry whether, further to his reply to the hon. Member for Great Grimsby of 21 December 1989,Official Report, column 393, the insolvency service or any other Government agency collects information about the going concern qualifications received by failed companies.
§ Mr. RedwoodNo such information is collected either by the insolvency service or any other Government agency.
§ Mr. Austin MitchellTo ask the Secretary of State for Trade and Industry if he will bring forward legislation to clarify and increase the effectiveness of the company rescue procedures in the Insolvency Act 1986, in particular to reduce the need to go to court for guidance on interpretation.
§ Mr. RedwoodI have no plans at present to do so, though the insolvency service monitors the effectiveness of current insolvency legislation.
As is the case with new legislation, particularly where new concepts, such as the administration procedure, are introduced, precedents are established by early court decisions. As time goes on the need for court involvement is reduced.