Enterprise Act 2002

266Disqualification from office: Parliament

(1)The following shall be inserted before section 427 of the Insolvency Act 1986 (c. 45) (the title to which becomes “Disqualification from Parliament (Scotland and Northern Ireland)”)—

“426ADisqualification from Parliament (England and Wales)

(1)A person in respect of whom a bankruptcy restrictions order has effect shall be disqualified—

(a)from membership of the House of Commons,

(b)from sitting or voting in the House of Lords, and

(c)from sitting or voting in a committee of the House of Lords or a joint committee of both Houses.

(2)If a member of the House of Commons becomes disqualified under this section, his seat shall be vacated.

(3)If a person who is disqualified under this section is returned as a member of the House of Commons, his return shall be void.

(4)No writ of summons shall be issued to a member of the House of Lords who is disqualified under this section.

(5)If a court makes a bankruptcy restrictions order or interim order in respect of a member of the House of Commons or the House of Lords the court shall notify the Speaker of that House.

(6)If the Secretary of State accepts a bankruptcy restrictions undertaking made by a member of the House of Commons or the House of Lords, the Secretary of State shall notify the Speaker of that House.

426BDevolution

(1)If a court makes a bankruptcy restrictions order or interim order in respect of a member of the Scottish Parliament, the Northern Ireland Assembly or the National Assembly for Wales, the court shall notify the presiding officer of that body.

(2)If the Secretary of State accepts a bankruptcy restrictions undertaking made by a member of the Scottish Parliament, the Northern Ireland Assembly or the National Assembly for Wales, the Secretary of State shall notify the presiding officer of that body.

426CIrrelevance of privilege

(1)An enactment about insolvency applies in relation to a member of the House of Commons or the House of Lords irrespective of any Parliamentary privilege.

(2)In this section “enactment” includes a provision made by or under—

(a)an Act of the Scottish Parliament, or

(b)Northern Ireland legislation.”

(2)In section 427 of the Insolvency Act 1986 the following shall cease to have effect—

(a)in subsection (1), the words “England and Wales or”, and

(b)subsection (7).

(3)The Secretary of State may by order—

(a)provide for section 426A or 426B of that Act (as inserted by subsection (1) above) to have effect in relation to orders made or undertakings accepted in Scotland or Northern Ireland under a system which appears to the Secretary of State to be equivalent to the system operating under Schedule 4A to that Act (as inserted by section 257 of this Act);

(b)make consequential amendment of section 426A or 426B of that Act (as inserted by subsection (1) above);

(c)make other consequential amendment of an enactment.

(4)An order under this section may make transitional, consequential or incidental provision.

(5)An order under this section—

(a)must be made by statutory instrument, and

(b)may not be made unless a draft has been laid before and approved by resolution of each House of Parliament.