§ Mr. RiddickTo ask the Secretary of State for Trade and Industry what targets he has set the Insolvency Service executive agency for 1991–92.
§ Mr. RedwoodI expect the insolvency service to continue to bring proceedings for the disqualification of directors of failed companies, and to submit prosecution reports where there is evidence of criminal behaviour in all appropriate cases. In addition I have set it output targets of completing the administration of at least 14,500 cases in 1991–92, while examining in detail one in 20 of all bankruptcy and liquidation accounts received from independent insolvency practitioners.
The quality of service targets for 1991–92 are: to report to creditors on assets and liabilities within nine weeks in at least 75 per cent. of cases; to hold the initial meeting of creditors within 12 weeks on at least 90 per cent. of all cases; to check and action at least 93 per cent. of payment requisitions within 10 days or by the due date; to submit reports within 10 months in at least 80 per cent. of cases identified for investigation.
I would like to congratulate the chief executive and his staff on their success in improving quality of service last year while significantly increasing their efficiency. For 1991–92, I have asked the chief executive to secure a further 5 per cent. increase in productivity in case administration, as measured by both the initial handling of cases and their closure. I have also toughened the target for a reduction in real terms for the average unit cost of the initial stage of bankruptcies and liquidations, so that it is now a 37 per cent. reduction over the period 1990–91 to 1992–93.