The Quick Answer
A Licensed Insolvency Practitioner is a qualified professional who has an insolvency licence.
Insolvency and dealing with businesses and individuals with debt is a regulated profession. You can not do this work without having passed an exam, being the member of a professional body and having an insolvency licence.
The answer in more detail
The Insolvency Practitioner (“IP”) will have qualified as a Licenced Insolvency Practitioner by working in the profession for several years and passing an exam. They will be a member of a professional body and regulator such as the Institute of Chartered Accountants in England and Wales. The professional body issue the licence annually if the Licenced Insolvency Practitioner remains a fit and proper person to hold a licence.
As the Licenced Insolvency Practitioner will handle client funds they are carefully monitored and periodically visited by this professional body. All formal insolvency appointments, such as the Licensed Insolvency Practitioner acting as an Administrator, Liquidator or Supervisor must be reported each month to their regulatory body.
All Licenced Insolvency Practitioners must have professional indemnity insurance, an enabling bond and they will also be registered and have an IP number with the Insolvency Service.
We have four Licensed Insolvency Practitioners at our firm taking formal insolvency appointments as well as several qualified support staff. The Licenced Insolvency Practitioners are:
IP number 8830
IP number 9704
IP number 24174
IP number 26032