A NEW law could help businesses cope with the economic damage caused by the pandemic, according to an insolvency and restructuring trade body.

Eleanor Temple, chair of R3 in Yorkshire called the Corporate Insolvency and Governance Bill: "the biggest change to the UK's insolvency and restructuring framework for almost twenty years.

"The measures contained in the Bill will support the profession's efforts to help businesses navigate the enormous economic damage caused by the pandemic - this legislation comes not a minute too soon.

"The new tools will add to the options available to insolvency and restructuring professionals trying to rescue businesses, and will enhance the UK's globally recognised insolvency and restructuring framework."

Welcoming the Bill, she said it could "increase the number of struggling but potentially viable businesses who could benefit from a vital breathing space, and will help to repair the economic devastation caused by the pandemic."

That is because it will enable insolvent businesses to access a pandemic financial support measure previously only available to solvent businesses.