New measures to help with the financial impact of COVID-19
In the last month, the Government has introduced several changes to legislation, as a means of mitigating the economic effects of the COVID-19 outbreak. These measures include granting relief for businesses facing insolvency due to COVID-19, and changes to the implementation date of the Insolvency Practitioners Act.
Insolvency relief for businesses
The Government will be introducing legislation to make changes to the Companies Act to help businesses facing insolvency due to COVID-19 to remain viable, with the aim of keeping New Zealanders in jobs.
Insolvency Practitioners Regulation Act implementation update
The Insolvency Practitioners Regulation Act 2019 and the Insolvency Practitioners Regulation (Amendments) Act 2019 are scheduled to come into force on 17 June 2020. While the Government remains committed to implementing the legislation as soon as possible, circumstances related to COVID-19 may cause it to be deferred, by up to 12 months. Further announcements will be made once the commencement date is confirmed.