- 18th January 2018
- Posted by: Suzy Hill
- Category: Business News, HMRC News
Carillion – HMRC offers support for businesses affected by liquidation
HMRC is providing practical advice and guidance to businesses affected by the Carillion liquidation through its Business Payment Support Service (BPSS), which can suspend any debt collection proceedings and review penalties for missing deadlines.
HMRC’s Business Payment Support Service connects businesses with HMRC staff who can offer practical help and advice on a wide range of tax problems.
The Business Payment Support Service was set up to help any business struggling to make their tax payments as a result of economic conditions.
The BPSS can:
- Agree instalment arrangements if you’re unable to pay your tax on time following the Carillion collapse.
- Suspend any debt collection proceedings;
- Review penalties for missing statutory deadlines;
- Reduce any payments on account; and
- Agree to defer payments due to short-term cash flow difficulties.
Business Secretary Greg Clark, Economic Secretary to the Treasury John Glen, and Small Business Minister Andrew Griffiths, met banks on 17 January to seek assurances that they will support small businesses affected by Carillion’s liquidation.
Clark said: ‘It is essential that small businesses exposed to the Carillion insolvency are given the support they need by their lenders.
‘I chaired a meeting this morning of high street banks to ensure that they are in contact with customers impacted, that they have in place the advice and support needed and that any individual cases are escalated and dealt with sympathetically, swiftly and appropriately.’
Stephen Pegge, UK Finance Managing Director, Commercial Finance, said: ‘Lenders are contacting customers and, where appropriate, are putting in place emergency measures, including overdraft extensions, payment holidays and fee waivers to ensure those facing short term issues can be helped to stay on track.’
Carillion entered compulsory liquidation on 15 January after it failed to secure short term financial support to enable it to continue to trade whilst longer term engagement continued.