Business: Insolvency
The question
To ask the Secretary of State for Business and Trade, what guidance his Department has issued on ensuring that consumers receive compensation when (a) a business enters liquidation and (b) there is evidence to suggest that business has knowingly defrauded customers prior to liquidation.
Answered by Justin Madders
If a business enters formal insolvency, consumers can refer to the guidance on the UK government's website (Gov.UK) for information on recovering their money for undelivered goods or services. The guidance advises consumers to contact their card provider to request a refund or, alternatively, submit a claim to the insolvency office holder. If there is evidence of misconduct by the insolvent business, it should be reported to the insolvency office holder, who will investigate and if necessary take appropriate action.
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