Welcome to the first edition of Corporate Restructuring News of 2022.
I would have liked to say that the COVID-19 pandemic is now behind us, but the latest strain is still taking its toll. Although the effect on businesses is less severe than it was, staff absences remain the dominant pressure in sectors such as entertainment and leisure, where remote working is not an option.
However, not all businesses lost out in the pandemic. For some it was extremely lucrative, and our first article looks at the gaming industry, notably the power struggle between Microsoft and Sony whose profits are soaring as a result of multiple global lockdowns. On the flipside, the future of high street game retailers looks increasingly uncertain with more and more consumers choosing to use online platforms to purchase and downloads games rather than buying in person.
Senior Restructuring Manager, Ed Ellis also focuses on the effect of the pandemic, this time on independent schools who are facing a crisis because of lost income and fundraising opportunities. Ed looks at the practical options open to hard hit schools as many now face insolvency.
In our third article, Corporate Restructuring News editor and Senior Restructuring Partner, Chris Laughton discusses in practical terms, the ways in which the European Insolvency Regulation still applies in the UK despite Brexit and even though the post-Brexit transitional period is over. Chris’ expertise and knowledge in this area is extremely valuable as the detailed consequences of Brexit are still being identified.
Somewhat hidden amongst the Budget announcements from last year were the additional powers given to HMRC to recoup overdue corporation tax. Louis Byrne and Henry Page discuss the new legislation and the various loopholes it will close. Company directors may now become liable as individuals, and it will be interesting to see the implications for companies who are trading to the detriment of the crown.
Finally, it is with great pleasure we announce that Lee Benmore has become the new chair of the R3 New Professionals Committee for the London and Southeast Region. This fantastic opportunity is a testament to Lee’s hard work and commitment and will see him working with his peers in the industry to produce and deliver forums to members across the region to share knowledge and best practice. Not only is this beneficial to his career, it will also help our clients.