Factoring meaning

In this issue: Employment Tribunals Status and worker categories Tax Protected characteristics Data protection and employee information Industrial action ESG and sustainability: employment issues Financial services and banking: employment issues Immigration Daily and weekly news alerts Dates for your diary Trackers New Q&As Employment Tribunals What enquiries should be made by a tribunal before it makes a deposit order? In Carryl v Governing Body of Manford Primary School [2023] EAT 167, the Employment Appeal Tribunal held that, when determining the level of a deposit order, an employment judge should establish the payer’s income and expenditure to understand their disposable income over the relevant timeframe. The judge should make targeted enquiries about the person’s actual weekly or monthly net pay, factoring in deductions such as tax, National Insurance, pensions and other regular outgoings. With that information, the tribunal can set a deposit at a figure that carries enough weight to prompt...

Subsidy control The Subsidy Advice Unit has released its concluding report with guidance for the Department for Business and Trade on its proposed Post Office (Future Technology Portfolio 2025 to 2026) subsidy—see further, final report. NOTE—For every decision referred to the Subsidy Advice Unit under the Subsidy Control Act 2022, see further, UK subsidy control—ongoing cases tracker. Competition policy The CMA has issued its response to the Department for Transport’s consultation ‘A railway fit for Britain’s future’—see further, response. It revisits the CMA’s earlier advice on competition in ticket retailing. It also highlights the possible advantages of factoring passenger outcomes into Great British Rail’s Access and Use policy. The CMA reiterates its continuing offer of advisory support as the UK government progresses reforms in the sector. Upcoming dates For dates of forthcoming UK competition developments, see further, UK Competition calendar...

On 13 October 2025, Morningstar DBRS stated that insurers which have capped their exposure and adopted robust policy terms 'should absorb the shock'. First Brands entered formal bankruptcy proceedings on 29 September 2025 with an estimated US$11.6bn in liabilities. The failure has unsettled investors and heightened worries about a wider impact on the global economy. Trade credit insurance shields companies or their financial backers against non-delivery of goods or services arising from insolvency events...

The use of invoice discounting and factoring of receivables as business finance has expanded markedly in the UK over the past 25 years. Introduction to receivables purchase transactions Invoice discounting and factoring fall within receivables purchase arrangements under which a supplier of goods and/or services (often called the seller or the supplier) transfers, typically by way of assignment, debts owed to it by the purchaser of those goods and/or services (commonly referred to as the buyer or the account debtor), usually together with all associated rights. These receivables purchases are frequently completed at a discounted purchase price. That said, receivables can also be acquired for an amount equal to their face value, with the supplier paying the purchaser a purchase fee. For a variety of reasons, suppliers may opt to sell receivables (on a no recourse or limited recourse basis) in preference to borrowing...

Trading activities test The enterprise management incentives (EMI) framework is tightly defined and imposes various conditions that must be satisfied when options are issued, covering: the company issuing the options the employees receiving the options the shares subject to the option, and the terms of the options themselves This Practice Note examines the statutory requirements for the trading activities test that a company must meet to award EMI options. It clarifies the meaning of a qualifying trade, drawing attention to pertinent HMRC guidance and practical considerations. For the EMI eligibility tests concerning a company’s independence, qualifying subsidiaries, gross assets and headcount, see Practice Note: EMIs—qualifying companies. For a decision flowchart on a company’s ability to grant EMI options, see: EMI scheme—flowchart to determine company’s eligibility. For a checklist assessing whether a company and its workforce qualify for EMI purposes, see: EMI options—checklist to determine whether a company and its employees qualify. For the remaining EMI qualifying criteria, refer to...

This Practice Note serves as a practical introductory guide to sustainable finance for transactional banking and finance lawyers across the UK and EU contexts. It is also aimed at practitioners working on transactions and documentation within these jurisdictions. For an overview of the UK and EU regulatory landscape around sustainable finance, see Practice Note: —regulatory landscape. Detailed information on all areas of sustainable business, including the regulatory environment, can be found in our ESG and sustainability toolkit. This Practice Note explains the following: what is meant by sustainable finance and environmental, social and governance (ESG) key drivers behind sustainable finance principal sustainable finance products, including sustainability-linked and green loans, bonds, securitisations and derivatives market challenges, such as disclosure and ‘greenwashing’ information on market approaches and the main industry bodies, and where to find practical guidance on documentation issues What is meant by sustainable finance and ESG? Perspectives differ on the scope of sustainable finance, but a helpful description...