The review at a glance
The UK Government has published its statutory review of the effectiveness of the permanent measures introduced by the Corporate Insolvency and Governance Act 2020 (CIGA 2020). CIGA 2020 came into force on 26 June 2020, during the height of the COVID-19 pandemic, with the goals of supporting businesses through the immediate financial difficulties they faced and, in the longer term, saving viable companies.
CIGA 2020 introduced several temporary measures (which have since expired) and three permanent measures (which are the focus of the review):
(1) a standalone moratorium procedure,
(2) a restructuring plan, allowing for cross class cram down (CCCD)
(3) a suspension on contractual provisions terminating…