Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what guidance is available to local authorities on the £150 Council Tax rebate.
Answered by Simon Clarke
The Department for Levelling Up, Housing and Communities has published guidance to local authorities on administering the council tax rebate. This can be found in the link below:
The council tax rebate 2022-23 – billing authority guidance - GOV.UK (www.gov.uk)
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps he is taking to ensure people understand the financial consequences of using buy now, pay later services to fund purchases.
Answered by John Glen
HM Treasury regularly monitors changes in the consumer credit market as part of the normal process of policy development.
The Woolard Review into the unsecured credit market found several potential risks of consumer detriment from interest-free Buy-Now Pay-Later products, including the absence of information given to consumers about features of Buy-Now Pay-Later agreements. The Government recognises those risks, but also notes that as an interest-free product, Buy-Now Pay-Later can often be lower-risk than other forms of borrowing and a useful tool to help consumers manage their finances. That is why, on 2 February 2021, the Government announced its intention to regulate Buy-Now Pay-Later products in a proportionate manner.
The Government published a consultation on policy proposals for the regulation of Buy-Now Pay-Later on 21 October 2021, which closed on 6 January. The consultation included proposals to apply Financial Conduct Authority (FCA) rules on pre-contract disclosure and adequate explanations to Buy-Now Pay-Later agreements. These rules require firms to make adequate pre-contractual explanation to ensure the customer is in a position to assess whether the agreement is suitable for their needs and financial situation.
The Government is now reviewing responses to this consultation and considering next steps and intends to publish a consultation response in the spring.
HMT does not hold information regarding the number of 18- to 24-year-olds who have been referred to debt collection agencies by Buy-Now Pay-Later in the last 12 months, or the amount collected in late payment fees by the Buy-Now Pay-Later sector in each of the last three years. Instead, HMT draws on the research of various stakeholders including consumer groups and the wider financial services industry.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the implications for his policies of increases in the number of people using buy now, pay later services as an additional form of short-term credit financing.
Answered by John Glen
HM Treasury regularly monitors changes in the consumer credit market as part of the normal process of policy development.
The Woolard Review into the unsecured credit market found several potential risks of consumer detriment from interest-free Buy-Now Pay-Later products, including the absence of information given to consumers about features of Buy-Now Pay-Later agreements. The Government recognises those risks, but also notes that as an interest-free product, Buy-Now Pay-Later can often be lower-risk than other forms of borrowing and a useful tool to help consumers manage their finances. That is why, on 2 February 2021, the Government announced its intention to regulate Buy-Now Pay-Later products in a proportionate manner.
The Government published a consultation on policy proposals for the regulation of Buy-Now Pay-Later on 21 October 2021, which closed on 6 January. The consultation included proposals to apply Financial Conduct Authority (FCA) rules on pre-contract disclosure and adequate explanations to Buy-Now Pay-Later agreements. These rules require firms to make adequate pre-contractual explanation to ensure the customer is in a position to assess whether the agreement is suitable for their needs and financial situation.
The Government is now reviewing responses to this consultation and considering next steps and intends to publish a consultation response in the spring.
HMT does not hold information regarding the number of 18- to 24-year-olds who have been referred to debt collection agencies by Buy-Now Pay-Later in the last 12 months, or the amount collected in late payment fees by the Buy-Now Pay-Later sector in each of the last three years. Instead, HMT draws on the research of various stakeholders including consumer groups and the wider financial services industry.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate his Department has made of amount collected in late payment fees by the buy now, pay later sector in each of the last three years.
Answered by John Glen
HM Treasury regularly monitors changes in the consumer credit market as part of the normal process of policy development.
The Woolard Review into the unsecured credit market found several potential risks of consumer detriment from interest-free Buy-Now Pay-Later products, including the absence of information given to consumers about features of Buy-Now Pay-Later agreements. The Government recognises those risks, but also notes that as an interest-free product, Buy-Now Pay-Later can often be lower-risk than other forms of borrowing and a useful tool to help consumers manage their finances. That is why, on 2 February 2021, the Government announced its intention to regulate Buy-Now Pay-Later products in a proportionate manner.
The Government published a consultation on policy proposals for the regulation of Buy-Now Pay-Later on 21 October 2021, which closed on 6 January. The consultation included proposals to apply Financial Conduct Authority (FCA) rules on pre-contract disclosure and adequate explanations to Buy-Now Pay-Later agreements. These rules require firms to make adequate pre-contractual explanation to ensure the customer is in a position to assess whether the agreement is suitable for their needs and financial situation.
The Government is now reviewing responses to this consultation and considering next steps and intends to publish a consultation response in the spring.
HMT does not hold information regarding the number of 18- to 24-year-olds who have been referred to debt collection agencies by Buy-Now Pay-Later in the last 12 months, or the amount collected in late payment fees by the Buy-Now Pay-Later sector in each of the last three years. Instead, HMT draws on the research of various stakeholders including consumer groups and the wider financial services industry.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate his Department has made of the number of 18 to 24 year olds who have been referred to debt collection agencies by buy now, pay later firms in the last 12 months.
Answered by John Glen
HM Treasury regularly monitors changes in the consumer credit market as part of the normal process of policy development.
The Woolard Review into the unsecured credit market found several potential risks of consumer detriment from interest-free Buy-Now Pay-Later products, including the absence of information given to consumers about features of Buy-Now Pay-Later agreements. The Government recognises those risks, but also notes that as an interest-free product, Buy-Now Pay-Later can often be lower-risk than other forms of borrowing and a useful tool to help consumers manage their finances. That is why, on 2 February 2021, the Government announced its intention to regulate Buy-Now Pay-Later products in a proportionate manner.
The Government published a consultation on policy proposals for the regulation of Buy-Now Pay-Later on 21 October 2021, which closed on 6 January. The consultation included proposals to apply Financial Conduct Authority (FCA) rules on pre-contract disclosure and adequate explanations to Buy-Now Pay-Later agreements. These rules require firms to make adequate pre-contractual explanation to ensure the customer is in a position to assess whether the agreement is suitable for their needs and financial situation.
The Government is now reviewing responses to this consultation and considering next steps and intends to publish a consultation response in the spring.
HMT does not hold information regarding the number of 18- to 24-year-olds who have been referred to debt collection agencies by Buy-Now Pay-Later in the last 12 months, or the amount collected in late payment fees by the Buy-Now Pay-Later sector in each of the last three years. Instead, HMT draws on the research of various stakeholders including consumer groups and the wider financial services industry.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, when he plans to publish a response to the consultation on the regulation of buy now pay later products which closed on 6 January 2022.
Answered by John Glen
HM Treasury regularly monitors changes in the consumer credit market as part of the normal process of policy development.
The Woolard Review into the unsecured credit market found several potential risks of consumer detriment from interest-free Buy-Now Pay-Later products, including the absence of information given to consumers about features of Buy-Now Pay-Later agreements. The Government recognises those risks, but also notes that as an interest-free product, Buy-Now Pay-Later can often be lower-risk than other forms of borrowing and a useful tool to help consumers manage their finances. That is why, on 2 February 2021, the Government announced its intention to regulate Buy-Now Pay-Later products in a proportionate manner.
The Government published a consultation on policy proposals for the regulation of Buy-Now Pay-Later on 21 October 2021, which closed on 6 January. The consultation included proposals to apply Financial Conduct Authority (FCA) rules on pre-contract disclosure and adequate explanations to Buy-Now Pay-Later agreements. These rules require firms to make adequate pre-contractual explanation to ensure the customer is in a position to assess whether the agreement is suitable for their needs and financial situation.
The Government is now reviewing responses to this consultation and considering next steps and intends to publish a consultation response in the spring.
HMT does not hold information regarding the number of 18- to 24-year-olds who have been referred to debt collection agencies by Buy-Now Pay-Later in the last 12 months, or the amount collected in late payment fees by the Buy-Now Pay-Later sector in each of the last three years. Instead, HMT draws on the research of various stakeholders including consumer groups and the wider financial services industry.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the implications for his policies of the increase in the number of people using buy now, pay later services.
Answered by John Glen
HM Treasury regularly monitors changes in the consumer credit market as part of the normal process of policy development.
The Woolard Review into the unsecured credit market found several potential risks of consumer detriment from interest-free Buy-Now Pay-Later products, including the absence of information given to consumers about features of Buy-Now Pay-Later agreements. The Government recognises those risks, but also notes that as an interest-free product, Buy-Now Pay-Later can often be lower-risk than other forms of borrowing and a useful tool to help consumers manage their finances. That is why, on 2 February 2021, the Government announced its intention to regulate Buy-Now Pay-Later products in a proportionate manner.
The Government published a consultation on policy proposals for the regulation of Buy-Now Pay-Later on 21 October 2021, which closed on 6 January. The consultation included proposals to apply Financial Conduct Authority (FCA) rules on pre-contract disclosure and adequate explanations to Buy-Now Pay-Later agreements. These rules require firms to make adequate pre-contractual explanation to ensure the customer is in a position to assess whether the agreement is suitable for their needs and financial situation.
The Government is now reviewing responses to this consultation and considering next steps and intends to publish a consultation response in the spring.
HMT does not hold information regarding the number of 18- to 24-year-olds who have been referred to debt collection agencies by Buy-Now Pay-Later in the last 12 months, or the amount collected in late payment fees by the Buy-Now Pay-Later sector in each of the last three years. Instead, HMT draws on the research of various stakeholders including consumer groups and the wider financial services industry.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what financial support the Government has put in place for beauty salons affected by Plan B covid-19 restrictions.
Answered by Helen Whately - Shadow Secretary of State for Work and Pensions
In December, Government announced a generous £1 billion package of support for business and their employees to help them manage the effects of the rapid surge of Omicron and bounce back quickly.
The Omicron Hospitality and Leisure Grant scheme, announced on 21 December, is intended to provide targeted support for the food and beverage, accommodation and leisure sectors which offer in-person services. This action was taken to support businesses impacted by the Omicron variant, which led to the public voluntarily restricting their social mixing and reports that many businesses in these sectors had lost 40-60% of their December trade. Personal Care services are not eligible for this scheme.
However, in recognition that other businesses outside the scope of this grant may have been impacted, local authorities in England also received a top-up worth a total of £102 million to their Additional Restrictions Grant (ARG) fund. Distribution of ARG funds is at the local authority's discretion.
Due to the balanced and proportionate approach taken by the Government in response to the Omicron variant, Cabinet has decided to return to Plan A in England.
Asked by: Robert Halfon (Conservative - Harlow)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what estimate he has made of the financial effect of the freeze on fuel duty since 2010 for the average motorist.
Answered by Helen Whately - Shadow Secretary of State for Work and Pensions
As a result of twelve consecutive years of frozen fuel duty rates, the average UK car driver will pay around £15 less per tank of fuel, and will have cumulatively saved around £1,900 since 2011, compared to what would have been paid under the pre-2010 escalator. The 2022-23 freeze represents a saving for consumers of nearly £8 billion over the next five years.