Business protections extended for three months

Restrictions on winding-up petitions have once again been extended and are now due to expire on 31 March 2021

In early December, our restructuring partner, Dominic Dumville, called for an extension to the moratorium on winding-up orders before the Christmas break to give distressed businesses every opportunity to reach economic recovery (See the coverage here.)

What does this announcement mean for businesses?

With the UK vaccine rollout now off the ground and these recent, but possibly final extensions of the protection measures, what lies ahead for UK businesses is now clearer than it has been for nine months. This clarity represents both a threat, as companies will become exposed without government help, and an opportunity to prepare.

The three months after Christmas could prove to be the most important period in history for many UK businesses; plans made, agreements negotiated and advice taken where necessary, will create a secure foundation on which to trade, when the stabilisers come off.

At Mercer & Hole we believe that planning today is essential. To help, we have created simple and adaptable recovery planning tools, including a guide to creating a One Page business recovery plan and a financial checklist, both of which can be accessed from our website.  We can work together to create a route for a successful 2021.