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Insolvency

Asked by Edward MorelloLiberal DemocratDepartment for Business and TradeTabled Answered 15 October 2025UIN 80819

The question

To ask the Secretary of State for Business and Trade, whether his Department has made an assessment of the (a) prevalence of phoenixing and (b) potential impact of phoenixing on small businesses.

Answered by Blair McDougall

The Insolvency Service is committed to working closely with HMRC and Companies House to tackle the harm caused by companies who use ‘Phoenixing’ as a means of avoiding liabilities. There is a range of ongoing activity set out in the recent Treasury Minutes – CP 1306 including a desire to develop a detailed cross-government threat assessment.

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