Question to the Department for Business and Trade:

To ask the Secretary of State for Business and Trade, what assessment his Department has made of the potential impact of a trader licensing scheme on rogue and fraudulent traders.

The Government recognises the harm caused by rogue and fraudulent traders to consumers and legitimate businesses.

The Department has not made a formal assessment of the impact that a trader licensing scheme would have on rogue and fraudulent traders. This government is committed to protecting consumers from rogue traders. Consumer legislation already sets out standards consumers should expect when a trader supplies goods and services, as well as remedies if these rights are breached.

The Digital Markets, Competition and Consumers Act 2024 further strengthens consumer law enforcement. For example, enforcers such as the Competition and Markets Authority (CMA) can apply to the courts to impose penalties when dealing with consumer law breaches.

Furthermore, the Act allows the CMA to impose monetary penalties of up to 10% of turnover for substantive breaches of consumer law without having to go through the courts.