Winding up the business

Where there is no realistic hope that a business can continue as a going concern and an insolvency practitioner has been appointed to liquidate the company and sell its assets, regulation 4 (terms and conditions) and regulation 7 (dismissals) do not apply (regulation 8 (7), TUPE).

Wages and other sums owed to the employees can be claimed out of the National Insurance Fund, subject to a statutory cap. See Chapter 11 for information about claiming wages and other payments in an insolvency situation.