Most Popular
1. It’s a New Macro, the Gold Market Knows It, But Dead Men Walking Do Not (yet)- Gary_Tanashian
2.Stock Market Presidential Election Cycle Seasonal Trend Analysis - Nadeem_Walayat
3. Bitcoin S&P Pattern - Nadeem_Walayat
4.Nvidia Blow Off Top - Flying High like the Phoenix too Close to the Sun - Nadeem_Walayat
4.U.S. financial market’s “Weimar phase” impact to your fiat and digital assets - Raymond_Matison
5. How to Profit from the Global Warming ClImate Change Mega Death Trend - Part1 - Nadeem_Walayat
7.Bitcoin Gravy Train Trend Forecast 2024 - - Nadeem_Walayat
8.The Bond Trade and Interest Rates - Nadeem_Walayat
9.It’s Easy to Scream Stocks Bubble! - Stephen_McBride
10.Fed’s Next Intertest Rate Move might not align with popular consensus - Richard_Mills
Last 7 days
US Presidential Election Year Stock Market Seasonal Trend - 29th Nov 24
Who controls the past controls the future: who controls the present controls the past - 29th Nov 24
Gold After Trump Wins - 29th Nov 24
The AI Stocks, Housing, Inflation and Bitcoin Crypto Mega-trends - 27th Nov 24
Gold Price Ahead of the Thanksgiving Weekend - 27th Nov 24
Bitcoin Gravy Train Trend Forecast to June 2025 - 24th Nov 24
Stocks, Bitcoin and Crypto Markets Breaking Bad on Donald Trump Pump - 21st Nov 24
Gold Price To Re-Test $2,700 - 21st Nov 24
Stock Market Sentiment Speaks: This Is My Strong Warning To You - 21st Nov 24
Financial Crisis 2025 - This is Going to Shock People! - 21st Nov 24
Dubai Deluge - AI Tech Stocks Earnings Correction Opportunities - 18th Nov 24
Why President Trump Has NO Real Power - Deep State Military Industrial Complex - 8th Nov 24
Social Grant Increases and Serge Belamant Amid South Africa's New Political Landscape - 8th Nov 24
Is Forex Worth It? - 8th Nov 24
Nvidia Numero Uno in Count Down to President Donald Pump Election Victory - 5th Nov 24
Trump or Harris - Who Wins US Presidential Election 2024 Forecast Prediction - 5th Nov 24
Stock Market Brief in Count Down to US Election Result 2024 - 3rd Nov 24
Gold Stocks’ Winter Rally 2024 - 3rd Nov 24
Why Countdown to U.S. Recession is Underway - 3rd Nov 24
Stock Market Trend Forecast to Jan 2025 - 2nd Nov 24
President Donald PUMP Forecast to Win US Presidential Election 2024 - 1st Nov 24
At These Levels, Buying Silver Is Like Getting It At $5 In 2003 - 28th Oct 24
Nvidia Numero Uno Selling Shovels in the AI Gold Rush - 28th Oct 24
The Future of Online Casinos - 28th Oct 24
Panic in the Air As Stock Market Correction Delivers Deep Opps in AI Tech Stocks - 27th Oct 24
Stocks, Bitcoin, Crypto's Counting Down to President Donald Pump! - 27th Oct 24
UK Budget 2024 - What to do Before 30th Oct - Pensions and ISA's - 27th Oct 24
7 Days of Crypto Opportunities Starts NOW - 27th Oct 24
The Power Law in Venture Capital: How Visionary Investors Like Yuri Milner Have Shaped the Future - 27th Oct 24
This Points To Significantly Higher Silver Prices - 27th Oct 24

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

107 MPs Call for Lending Interest Rate Caps to Rein in Legal Loan Sharks

Politics / Debt & Loans Sep 20, 2010 - 09:11 AM GMT

By: Submissions

Politics

Landmark gives fresh impetus to the campaign ahead of meeting at Number 10

The 'End Legal Loan Sharking' campaign has received the backing of over 100 MPs ahead of a meeting with Number 10 next week. EDM 660,a parliamentary motion calling for a cap on the cost of credit has now been signed by 107 MPs. MPs from the Conservative Party, Labour Party, Liberal Democrat Party, Democratic Unionist Party, Plaid Cymru, Scottish National Party and Social Democratic and Labour Party are all supporting the EDM.


The campaigners will be meeting with government advisers this week to ask why the government has pledged to give regulators new powers to define and ban excessive interest rates on credit and store cards but is not tackling the much more pernicious high cost credit sector.

Motions to cap the cost of credit are also expected to carry at both Liberal Democrat and Labour Party conference later this month.

Gavin Hayes, General Secretary of Compass said:

"A cap on the cost of credit is supported by 7 in 10 people and it now also has support from all sides of the House - it is clearly an idea whose time has come. Were confident that the government will do the right thing and protect our most vulnerable citizens "

Lisa Nandy, Labour MP for Wigan (who tabled the motion) said:

"This is the first major test of the coalition Government's commitment to protecting the vulnerable from immoral and excessive profiteering. The strength of feeling in the Commons and amongst the public is clear - action is long overdue. I urge Ministers to act now to cap excessive lending rates."

Helen Goodman, Labour MP for Bishop Auckland (who signed the Early Day Motion 660) said:

"The coalition government must urgently take steps to give the same protection to vulnerable customers that is offered to others. Loan sharks are a scourge that exploit those on low incomes in desperate situations. We should follow other European countries and introduce interest rate caps now. "

Stephen Gilbert Liberal Democrat MP for St Austell & Newquay (who signed Early Day Motion 660) said:

"Too often we see the powerful exploiting the vulnerable and creating a cycle of dependency that traps poorer people into paying well over the odds for credit facilities. This needs to end. We need to do more to enable vulnerable people to access credit at sustainable rates."

The End Legal Loan sharking campaign is demanding a cap on the cost of credit because:

The mainstream credit market has contracted since the credit crunch and recession leading to a 1930s style credit crisis
The payday loan and pawnbroker business is now worth £2 billion per year, money which is being extracted from our poorest communities
The UK's poorest borrowers pay the highest price for credit in Europe.
The government has pledged to give regulators new powers to define and ban excessive interest rates on credit and store cards, but is not tackling the much more pernicious high cost credit sector.

EDM 660 reads: "That this house believes that the government should end 'legal loan sharking' by capping the cost of credit for the whole sector (not just for credit and store cards) and provide alternative affordable sources of credit through the Post Office network, local credit unions, CDFIs, co-operatives and mutuals; acknowledges that the UK's poorest borrowers pay the highest price for credit in Europe; further acknowledges that to £16,000 of excess profit is made every hour from the sector and that this is extracting wealth from the poorest communities; is concerned that that the OFT's recommendations including industry codes of practice and financial education - won't work, and certainly won't work quickly to reduce prices for consumers."

The campaign is also running online; thousands of people have signed a petition and emailed Prime Minister David Cameron demanding he take action. The interactive website is available at www.endlegalloansharks.org.uk.

For further information contact Gavin Hayes on 07900 195591 or Joe Cox on 07796 884487

Compass is the UK’s most influential political pressure group with over 40,000 members and supporters across the UK. Together we campaign for a more democratic, equal and sustainable society.

© 2010 Copyright  Compass - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.


© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in