Institute of Chartered Accountants in Ireland has applied to the Secretary of State for Business to give up its status as a recognised professional body for insolvency practitioners.
Section 391N of the Insolvency Act 1986
Revocation of recognition at the request of a body
Notice in accordance with section 391N(3) of the Insolvency Act 1986
The Institute of Chartered Accountants in Ireland
On 13 November 2024, the Institute of Chartered Accountants in Ireland (otherwise known as Chartered Accountants Ireland 'CAI') asked the Secretary of State to consider a request made under section 391N of the Insolvency Act 1986 ('the Act'), that it should cease to be a Recognised Professional Body ('RPB') for the purposes of section 391 of the Insolvency Act 1986.
CAI is listed within the Insolvency Practitioners (Recognised Professional Bodies) Order 1986 as a body recognised under Section 391 of the Act, for the purpose of authorising insolvency practitioners.
The Secretary of State for Business and Trade has considered this request and is satisfied that it is appropriate in all the circumstances to revoke this recognition in accordance with the procedure set out in section 391N of the Insolvency Act 1986.
Accordingly, the Secretary of State is making the Insolvency Practitioners (Recognised Professional Bodies) (Revocation of Recognition) Order 2025. This Order takes effect from 1 June 2025.
The reasons for making the Order in relation to the Institute of Chartered Accountants in Ireland (CAI) are:
- CAI notified the Secretary of State that the low number of insolvency practitioners it authorised made it commercially unsustainable to continue as an RPB.
- On 21 March 2024, the Council of the CAI approved the formal proposal to cease authorising insolvency practitioners from 1 January 2025.
- CAI insolvency licence holders were informed of the intention to withdraw as an RPB on 2 June 2024.
- CAI has completed all internal procedures to approve and implement the decision to withdraw as an RPB.
- All insolvency practitioners licensed by CAI as at 31 December 2024 who wished to continue to practice are now authorised by another RPB.
- Arrangements have been put in place for the investigation of complaints in the period between 31 December 2024 and the making of the Order formally revoking its recognition as an RPB, and in respect of any complaints made relating to conduct prior to 31 December 2024.
- CAI has requested for its recognition as an RPB to be revoked.
A print version of the notice is available from the Insolvency Service, 16th Floor, 1 Westfield Avenue, Stratford, London, E20 1HZ.
Justin Madders, Parliamentary Under Secretary of State, Department for Business and Trade
Date: 8 April 2025
