Asked by: Anne Main (Conservative - St Albans)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions the Government has had with the Financial Conduct Authority on the potential effect on the strength of the UK's peer-to-peer lending sector of the proposals on marketing restrictions in the FCA July 2018 CP 18/20 consultation paper.
Answered by John Glen
The Government has regular conversations with the Financial Conduct Authority (FCA), the peer-to-peer (P2P) lending sector and other Fintech organisations on a range of topics, including the FCA’s proposed new rules for P2P lending.
The Government has implemented a proportionate, principles based regime for P2P lending that balances the need for consumer protection with allowing the sector to grow and evolve. As the FCA’s CP18/20 makes clear, P2P lending is an increasingly important source of finance for small businesses, and the Government remains supportive of the industry. As the independent conduct regulator for the financial services industry, the FCA is best placed to set the appropriate regulatory requirements for P2P lending.
The UK has been independently ranked by EY and Deloitte as the world’s leading hub for Fintech – the best place in the world to start and grow a Fintech firm. The Government is committed to ensuring that it remains the best place in the world for Fintech, and has set out how it intends to do that in the ambitious Fintech Sector Strategy, launched in March 2018.