The demise of the Arcadia group on 30 November 20 will see HMRC lose most of the £44m it is owed.

The administrators have confirmed that only 10p in the £1 will be returned to unsecured creditors. 

If Arcadia had entered into administration a day later (on 1 December), HMRC would have been a preferential creditor and would have been repaid £30m, as HMRC became a preferential creditor on 1 December 2020. HMRC would rank ahead of the secured creditors.

The only secured creditor, Lady Tina Green has been paid the £50m she was owed ahead of HMRC and the other creditors!!

For more information on bankruptcy, liquidation, administration and all the other insolvency procedures, or should you or your company be facing financial difficulties and you need to chat, please telephone Stella Flemmings on 01377 257788 and she will make you an appointment with one of our insolvency professionals at our Driffield, Hull, Grimsby, Scunthorpe or York offices.  Our initial meetings are free and without obligation.  Meetings can be held virtually or in any of our offices whilst observing the socially distancing guidelines.

Because we are an independent insolvency practice, we keep our overheads low and have put systems in place to deal with simple liquidations at an affordable price of from £1,995 + VAT + Disbursements.  Our MVLs are from £995 + VAT + Disbursements.