Does the Minister support reforms to prevent phoenixing behaviour; if yes, what areas of phoenixing behaviour does he consider priority for reform?

Answer

I have work underway to address issues around phoenixing. This includes progressing amendments to the Companies Act 1993 to introduce unique director identification numbers, which will make it easier to identify repeat offending, deter phoenixing, and support more effective enforcement against directors who breach the law. In addition, the Government has commissioned the Law Commission to review directors’ duties and related liability settings. Once the Commission has reported back, I will consider its recommendations and whether any changes to the law are required.