Statutory Instruments

2016 No. 1047

Insolvency, England And Wales

Fees

The Disqualified Directors Compensation Orders (Fees) (England and Wales) Order 2016

Made

31st October 2016

Laid before Parliament

3rd November 2016

Coming into force

30th November 2016

The Lord Chancellor, with the sanction of the Treasury, makes the following Order in exercise of the power conferred by section 414(1)(b) of the Insolvency Act 1986( 1 ), read in conjunction with section 21(2) of the Company Directors Disqualification Act 1986( 2 ).

Citation, commencement and interpretation

1. —(1) This Order may be cited as the Disqualified Directors Compensation Orders (Fees) (England and Wales) Order 2016 and comes into force on 30th November 2016.

(2) In this Order—

“compensation order” means a court order under section 15A(1)( 3 ) of the Company Directors Disqualification Act 1986 ; and

“compensation undertaking” means an undertaking accepted by the Secretary of State under section 15A(2) of the Company Directors Disqualification Act 1986 .

Application

2. This Order applies in relation to—

(a) compensation orders made by the courts in England and Wales; and

(b) compensation undertakings accepted in cases where the courts in England and Wales would have had jurisdiction to make a compensation order.

Fees payable in connection with compensation orders and compensation undertakings

3. —(1) The Secretary of State is to be paid a fee for performing the function of distributing to a creditor an amount received by the Secretary of State in respect of a compensation order or a compensation undertaking to which this Order applies.

(2) The fee is to be paid out of the amount received before such a distribution is made to a creditor.

(3) The fee means the aggregate of—

(a) the time spent by the appropriate officials carrying out the Secretary of State’s function under paragraph (1) in relation to all creditors specified in a compensation order or a compensation undertaking, multiplied by the hourly rate in accordance with the table in the Schedule; and

(b) any necessary disbursements or expenses properly incurred in carrying out that function,

divided equally between the total number of creditors specified in the compensation order or the compensation undertaking.

Value Added Tax

4. Where Value Added Tax is chargeable in respect of the provision of a service for which a fee is payable by virtue of this Order, the amount of the Value Added Tax must be paid in addition to the fee.

Signed by authority of the Lord Chancellor

Oliver Heald

Minister of State

Ministry of Justice

27th October 2016

We concur

Stephen Barclay

Guto Bebb

Two of the Lords Commissioners of Her Majesty’s Treasury

31st October 2016

Article 3

SCHEDULE

Hourly rates for Secretary of State’s fee

Grade according to the Insolvency Service grading structure	Total hourly rate £
D2/Section Head	69
C2/Deputy Section Head	58
C1/Senior Examiner	52
L3/Examiner	46
L2/Examiner	40
B2/Administrator	43
L1/Examiner	38
B1/Administrator	42
A2/Administrator	36
A1/Administrator	31

( 1 )

1986 c.45 .

( 2 )

1986 c.46 ; section 21(2) was amended by the Small Business, Enterprise and Employment Act 2015 (c.26) , Schedule 7, paragraph 16.

( 3 )

Section 15A was inserted by the Small Business, Enterprise and Employment Act 2015, section 110.

in force	Provision is in force
in force*	In force only for specified purposes (see footnote)
not in force	Not in force in England (may be in force in other geographies, see footnotes)
defined term	Defined term
_dfn	Defined term (alternative style)

footnote	commentary	transitional and savings	in force status	related provisions	geo extent	insert/omit	source count	in force adj

Defined Term	Section/Article	ID	Scope of Application
compensation order	art. 1.	def_2d8cd7804f
compensation undertaking	art. 1.	def_72ce1b341f