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11/12/2018

Having a seat at the table: R3's lobbying work

Promoting and defending the role and value of the insolvency and restructuring profession to politicians, the press and stakeholders is a vital part of what R3 does for its members. Without this work, our profession would almost certainly be subject to views and policies that do not fully, or accurately, portray the work of the profession, and would ultimately create a more challenging working environment for all our members.

Below is a brief snapshot of how R3 members shape the public debate, lobbying success stories in recent years, and information on how you can get more involved.

How do R3 members shape the public debate?

R3 members determine the issues R3 lobbies on, and the stance that it takes. Whether it’s ideas from members during networking events, discussions in one of our national committees, or the results of a member survey, all these channels contribute to R3’s public thinking.

The issues R3 lobbies on are proactive, and reactive. They come from member proposals for reforming the insolvency and restructuring framework (such as our successful campaign to extend essential supplies protections, or our successful work to get the Government to consider introducing a business rescue moratorium), or are triggered by policies put forward by Government (such as the Government’s recent efforts to partially restore HMRC’s preferential status). And, of course, issues are also based on public and political debate concerning the profession and framework.

The list of issues that R3 lobbies on is extensive. Whether it’s a technical or a public policy issue, R3 has lobbied on hundreds of issues over its 30 years.

What issues is R3 currently lobbying on?

There are four big issues that R3 has been lobbying on in 2018. These include: working closely with HMRC, through a number of working groups, to tackle practical tax issues that our members are facing on a daily basis; discussions with the Insolvency Service about the liaison between the Official Receiver and insolvency practitioners; ensuring that the Government’s corporate insolvency and corporate governance proposals are workable for the profession and business community; and calling on the Government to seek a Brexit deal which ensures the continued automatic recognition of UK insolvency appointments and judgments across the EU.

On top of that, there have been meetings with parliamentarians, reports launched, government consultations responded to, and events held on: assessing the 2015 pre-pack reforms; the role and future of CVAs; a review of and recommendations for the volume IVA market; the role and powers of The Pension Regulator; the Government’s airline insolvency review; and the Government’s review of Part 2 of the 2012 Legal Aid, Sentencing and Punishment of Offenders Act (which has had a significant impact on insolvency litigation funding).

It’s a long list, and it looks like 2019 is set to be just as busy.

What are R3’s lobbying success stories?

There have been a number of success stories from R3’s lobbying work over the last few years. The most notable ones include:

  • The creation of a dedicated contact for insolvency issues at HMRC;
  • Convincing the Government to promise new guidance on collective redundancies in insolvencies, rather than opting for new regulation for IPs;
  • Stopping the Government from banning the ability of the profession to charge on a time-cost basis;
  • Reversing the government’s original plans to ban all physical creditors’ meetings;
  • Extending the 2012 LASPO Act insolvency litigation exemption by two years to ensure that the profession had more time to adapt to the reforms;
  • Increases to the bankruptcy and Debt Relief Order thresholds; and
  • Persuading the Government to make significant changes to its corporate insolvency and corporate governance reform proposals.

Without R3, these successes wouldn’t have happened.

Where can you hear about R3’s lobbying work?

There are a number of ways you can stay up to date with R3’s lobbying work. If you are a fan of social media, follow us on LinkedIn and Twitter (@R3PressOffice), or you can check out the dedicated public policy part of our website, R3 Thinks. You can also look out for our regular update in the monthly R3 newsletter. You can also hear more at our courses, conferences, and regional events, or attend one of our new free member forum discussions on topical insolvency and restructuring issues.

We’re always on the lookout for new ideas and issues to lobby on, so get in touch, get involved, and let us know what you think and would like to see R3 lobby for in 2019 and beyond.

Notes to editors:

  • R3 is the trade body for Insolvency Professionals and represents the UK’s Insolvency Practitioners.

  • R3 comments on a wide variety of personal and corporate insolvency issues. Contact the press office, or see www.r3.org.uk for further information.

  • R3 promotes best practice for professionals working with financially troubled individuals and businesses; all R3 members are regulated by recognised professional bodies
     
  • R3 stands for 'Rescue, Recovery, and Renewal' and is also known as the Association of Business Recovery Professionals.