{
  "url": "https://openlegislation.uk/insolvency-act-1986/schedule-B1/paragraph-73",
  "json_url": "https://openlegislation.uk/insolvency-act-1986/schedule-B1/paragraph-73.json",
  "legislation": "ukpga/1986/45",
  "legislation_title": "Insolvency Act 1986",
  "legislation_url": "https://openlegislation.uk/insolvency-act-1986",
  "path": "schedule/B1/paragraph/73",
  "kind": "paragraph",
  "number": "73",
  "heading": "Protection for priority creditor",
  "text": "(1) An administrator’s statement of proposals under paragraph 49 may not include any action which—\n(a) affects the right of a secured creditor of the company to enforce his security,\n(b) would result in a preferential debt of the company being paid otherwise than in priority to its non-preferential debts, ...\n(bb) would result in an ordinary preferential debt of the company being paid otherwise than in priority to any secondary preferential debts that it may have,\n(c) would result in one preferential creditor of the company being paid a smaller proportion of an ordinary preferential debt than another , ...\n(d) would result in one preferential creditor of the company being paid a smaller proportion of a secondary preferential debt than another. or\n(e) if the company is a relevant financial institution (see section 387A), would result in any non-preferential debt being paid otherwise than in accordance with the rules in section 176AZA(2) or (3).\n(2) Sub-paragraph (1) does not apply to—\n(a) action to which the relevant creditor consents,\n(b) a proposal for a voluntary arrangement under Part I of this Act (although this sub-paragraph is without prejudice to section 4(3)), . . .\n(c) a proposal for a compromise or arrangement to be sanctioned under Part 26 or 26A of the Companies Act 2006 (arrangements and reconstructions) ...\n(d) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .\n(3) The reference to a statement of proposals in sub-paragraph (1) includes a reference to a statement as revised or modified.",
  "extent": "E+W+S",
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Sch. B1 inserted (15.9.2003) by 2002 c. 40, ss. 248(2), 279, Sch. 16 (with s. 249(1)-(3)(6)); S.I. 2003/2093, art. 2(1), Sch. 1 (subject to arts. 3-8 (as amended by S.I. 2003/2332, art. 2))"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "Word in Sch. B1 para. 73(1)(b) omitted (1.1.2015) by virtue of The Banks and Building Societies (Depositor Preference and Priorities) Order 2014 (S.I. 2014/3486), arts. 1(2), 10(2) (with art. 3)"
    },
    {
      "type": "F",
      "label": "F3",
      "text": "Sch. B1 para. 73(1)(bb) inserted (1.1.2015) by The Banks and Building Societies (Depositor Preference and Priorities) Order 2014 (S.I. 2014/3486), arts. 1(2), 10(3) (with art. 3)"
    },
    {
      "type": "F",
      "label": "F4",
      "text": "Words in Sch. B1 para. 73(1)(c) substituted (1.1.2015) by The Banks and Building Societies (Depositor Preference and Priorities) Order 2014 (S.I. 2014/3486), arts. 1(2), 10(4) (with art. 3)"
    },
    {
      "type": "F",
      "label": "F5",
      "text": "Sch. B1 para. 73(1)(d) and word inserted (1.1.2015) by The Banks and Building Societies (Depositor Preference and Priorities) Order 2014 (S.I. 2014/3486), arts. 1(2), 10(5) (with art. 3)"
    },
    {
      "type": "F",
      "label": "F6",
      "text": "Word in Sch. B1 para. 73(1)(c) omitted (19.12.2018) by virtue of The Banks and Building Societies (Priorities on Insolvency) Order 2018 (S.I. 2018/1244), arts. 1(2), 13(3)(b) (with art. 3)"
    },
    {
      "type": "F",
      "label": "F7",
      "text": "Sch. B1 para. 73(1)(e) and word inserted (19.12.2018) by The Banks and Building Societies (Priorities on Insolvency) Order 2018 (S.I. 2018/1244), arts. 1(2), 13(3)(c) (with art. 3)"
    },
    {
      "type": "F",
      "label": "F8",
      "text": "Word in Sch. B1 para. 73(2)(b) repealed (15.12.2007) by The Companies (Cross-Border Mergers) Regulations 2007 (S.I. 2007/2974), reg. 65(2)"
    },
    {
      "type": "F",
      "label": "F9",
      "text": "Words in Sch. B1 para. 73(2)(c) substituted (6.4.2008) by The Companies Act 2006 (Consequential Amendments etc) Order 2008 (S.I. 2008/948), art. 3(1), Sch. 1 para. 100(a) (with arts. 6, 11, 12)"
    },
    {
      "type": "F",
      "label": "F10",
      "text": "Words in Sch. B1 para. 73(2)(c) inserted (26.6.2020) by Corporate Insolvency and Governance Act 2020 (c. 12), s. 49(1), Sch. 9 para. 7(3) (with ss. 2(2), 5(2))"
    },
    {
      "type": "F",
      "label": "F11",
      "text": "Sch. B1 para. 73(2)(d) and word omitted (31.12.2020) by virtue of The Companies, Limited Liability Partnerships and Partnerships (Amendment etc.) (EU Exit) Regulations 2019 (S.I. 2019/348), reg. 2, Sch. 3 para. 1; 2020 c. 1, Sch. 5 para. 1(1)"
    },
    {
      "type": "F",
      "label": "F12",
      "text": "Word in Sch. B1 para. 73 heading substituted (19.12.2018) by The Banks and Building Societies (Priorities on Insolvency) Order 2018 (S.I. 2018/1244), arts. 1(2), 13(3)(a) (with art. 3)"
    },
    {
      "type": "C",
      "label": "C1",
      "text": "Sch. B1 para. 73 applied (with modifications) (17.2.2009 for certain purposes, otherwise 21.2.2009) by Banking Act 2009 (c. 1), ss. 145, 263(1)(2) (with s. 247); S.I. 2009/296, arts. 2, 3, Sch. para. 3"
    },
    {
      "type": "C",
      "label": "C2",
      "text": "Sch. B1 paras. 70-79 modified (5.7.2018) by Housing and Planning Act 2016 (c. 22), s. 216(3), Sch. 5 Pts. 1, 2; S.I. 2018/805, reg. 3(b)"
    },
    {
      "type": "C",
      "label": "C3",
      "text": "Sch. B1 para. 73 applied (with modifications) (8.7.2021) by The Payment and Electronic Money Institution Insolvency Regulations 2021 (S.I. 2021/716), regs. 2, 37, Sch. 2 paras. 4-6 (with reg. 5) (as amended (4.1.2024) by S.I. 2023/1399, regs. 1(2), 4, 11)"
    },
    {
      "type": "C",
      "label": "C4",
      "text": "Sch. B1 paras. 59-75 applied (with modifications) (E.W.) (15.3.2024) by The Water Industry (Special Administration) Regulations 2024 (S.I. 2024/205), regs. 2(2), 5(1), 19-25 (with reg. 64)"
    },
    {
      "type": "C",
      "label": "C5",
      "text": "Sch. B1 excluded in part (E.W.) (15.3.2024) by The Water Industry (Special Administration) Regulations 2024 (S.I. 2024/205), regs. 2(2), 5(2) (with reg. 64)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/ukpga/1986/45/schedule/B1/paragraph/73",
    "retrieved_at": "2026-11-06T03:34:54.608720+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}