55 (1)This paragraph applies where an administrator—
(a)reports to the court under paragraph 53 that a company's creditors have failed to approve the administrator's proposals, or
(b)reports to the court under paragraph 54 that a company's creditors have failed to approve a revision of the administrator's proposals.
(2)The court may—
(a)provide that the appointment of an administrator shall cease to have effect from a specified time;
(b)adjourn the hearing conditionally or unconditionally;
(c)make an interim order;
(d)make an order on a petition for winding up suspended by virtue of paragraph 40(1)(b);
(e)make any other order (including an order making consequential provision) that the court thinks appropriate.
Cases considering Schedule B1, paragraph 55 6
[2026] EWHC 785 (Ch) · 7 April 2026
The court applied paragraph 55(2)(e) to order the company’s compulsory winding up because continued administration lacked rational justification, creditor support, and any reasonable prospect of approval. (see paras [3]; [45]-[46])
[2020] EWHC 2369 (Ch) · 3 September 2020Interprets
The court confirmed that administrators must report to the court and apply for directions when proposals are rejected. The requirement is mandatory (see paras [9]-[12]).
The court construed paragraph 55(2) as conferring wide discretionary powers, including power to authorise rejected proposals where a purpose has a real prospect of achievement and, under paragraph 55(2)(e), to make any other appropriate order (see paras [11]-[12], [23]-[27], [134]-[145]).
The court held that the power to make any other appropriate order includes power, in an exceptional case, to wind up the company without a petition (see paras [137]-[145]).
[2012] EWHC 2398 (Ch) · 23 August 2012Interprets
The court applied the provision to identify the circumstance in which the initial creditors’ meeting had failed to approve the administrator’s proposals and paragraph 55 was engaged. (see paras [56]; [69])
The court interpreted paragraph 55(2) as requiring an application and hearing after rejection of the proposals, and as conferring wide powers including termination, directions and consequential orders. It relied on paragraph 55(2)(a) and (e) to terminate the administration and make a compulsory winding-up order. (see paras [56]; [63]-[75]; [82]-[84])
What each judgment says about Schedule B1, paragraph 55 is in the case-law panel in the full Act.