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LATEST NEWS & EVENTS Corporate law reform 'may hit consumers'  There may be more call for a commercial debt recovery solicitor as the number of corporate insolvencies increases next year. Writing in the Daily Telegraph, personal finance editor Ian Cowie warned that changes to company law that make it easier for directors of firms to borrow from their business could leave customers out of pocket. He argued that the upsurge in the likes of home improvements and car purchases ahead of next year's VAT rise is likely to fall off once the tax hits 20 per cent. Quoting a financial expert, Mr Cowie explained that there is real danger of corporate insolvency increasing as banks call in their loans in 2011. The lesson appears to be that it is worth checking out the balance sheet of a small firm before parting with cash in advance, as customers may never see it again. Pat Boyden, a partner at PricewaterhouseCoopers told the newspaper that while the fall in insolvencies seen at the moment is "encouraging", this could simply be the "calm, before the storm". The Companies Act 2006 allowed for loans to be made to directors providing they met with shareholder approval and it was shown to be in the best interest of the company. Posted by Gaby Hamerton 
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