ISME welcomes step to change 'outdated' bankruptcy laws

ISME has welcomed the announcement by the Minister for Justice to publish a new bill that aims to reduce the term of bankruptcy from 12 years to five years.

The Irish Small & Medium Enterprises Association said that hopefully this will be a step towards "bringing our antiquated bankruptcy laws in line with the UK", where the bankruptcy discharge period can be as short as one year.

ISME Chief Executive, Mark Fielding, said: "Business owners take substantial risks to create employment and economic growth. For a company owner to be declared bankrupt is like a millstone around their necks.

"Current Irish bankruptcy laws are penal, outdated and anti-entrepreneurial.

"Today’s announcement will assist in the process of bringing our Irish bankruptcy laws into the 21st century and into line with our UK counterparts."