What happens tomorrow ?

In the immortal words of Duran Duran "Nobody knows" but the insolvency profession is braced for a marked increase in activity as the temporary measures introduced in April 2020 by the Corporate Insolvency and Governance Act are lifted.

With effect from 1 October 2021 creditors can again petition for debtor companies to be wound up provided the debt owed is over £10000, it doesn't relate to sums due under a commercial lease and the debtor has been served with a notice requesting proposals for payment but proposals to the satisfaction of the creditor have not been received within 21 days.

With the UK government's furlough scheme ending on the same date it does seem likely that the future of some companies which have only been able to survive the financial stresses of the pandemic with the assistance of government support will be put in jeopardy.

But will the increased wave in insolvency activity be a tsunami or a trickle? To that extent at least Duran Duran were correct - Nobody knows.