Insolvency Practitioner’s Fees
Where it has been agreed by a resolution of creditors or the creditors’ committee that the office holders’ remuneration will be calculated by reference to the time properly given by the office holder and his staff in attending to matters arising in the administration of the insolvency estate, at the following hourly charge out rates:-
Grade Rate (£) to 30 April 2014 Rate (£) from 1 May 2014
Senior Manager 250 278
Manager 230 254
Assistant Manager 205 226
These rates are our current hourly charge out rates and are exclusive of value added tax. Our charge-out rates are reviewed periodically and creditors will be advised of any alteration thereto. Time is recorded in one minute units.
Disbursements of Redman Nichols Butler
From time to time, we will incur disbursements on behalf of insolvent estates. The reimbursement of these disbursements will be a charge against the insolvent estate to which they relate. These disbursements can be split into two categories, Category 1 and Category 2.
Category 1 disbursements are disbursements which are directly referable to the insolvent estate and relate to a payment to an independent third party. We seek to recover these types of disbursement. Approval is not required to recover these disbursements and these include insolvency bonds, advertising, company searches and post redirection orders.
Category 2 disbursements are directly referable to the insolvent estate in question but the payment is not to an independent third party. They may include shared or allocated costs that can be allocated to the insolvent estate on a proper and reasonable basis, for example, business mileage. These disbursements are recoverable in full from the estate, subject to the basis of the disbursement charge being approved by creditors in advance.
Category 2 disbursements are recharged at the following rates:
Mileage 45 pence per mile
Printing & Photocopying 10 pence per sheet
The charges above are subject to annual increments and creditors will be advised of these in future circulars.
From time to time we instruct a firm of agents, Ullyotts, to act for the insolvent estate. Ullyotts are an associated business. Where Ullyotts are instructed, their fees will either be charged by reference to time costs properly incurred, calculated in one minute units at an hourly rate of between £150 – £225, plus their disbursements, or on a percentage basis. These costs are typical of agents in this geographical area.
A guidance note and further information in relation to office holders’ fees is available at www.R3.org.uk or www.insolvency-practitioners.org.uk/regulation-and-guidance/guides-to-fees