Oral Answers to Questions

Debate between Jo Swinson and Bob Russell

Thursday 24th October 2013 Commons Chamber

[Sir Bob Russell (Colchester) (LD)]

T2. Can the Minister give the House a progress report on how the Government are dealing with the scourge of the payday loan companies?

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Jo Swinson)]

I thank my hon. Friend for that question. He rightly highlights the fact that there have been significant problems in the payday lending industry; thankfully, significant action is also being taken to match that. Twenty-five payday lenders have left the market since March as a result of strong action by the Office of Fair Trading, with the Competition Commission undertaking an investigation, and earlier this month the Financial Conduct Authority published a suite of new proposed rules, which will limit roll-overs, cap the number of times that a lender can use a continuous payment authority and introduce strict new rules on advertising to ensure that people do not get ripped off.

Oral Answers to Questions

Debate between Jo Swinson and Bob Russell

Thursday 7th February 2013 Commons Chamber

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Jo Swinson)]

I know that there have been strong views on this issue in all parts of the House, and the Department of Health has undertaken a consultation on it. We await the results of that consultation, which will be analysed carefully. I am sure that the interesting counterfeiting issues that the hon. Gentleman raises will need to be considered alongside the health issues.

[Sir Bob Russell (Colchester) (LD)]

With Chinese new year celebrations and firework displays this weekend, will the Minister urgently receive a delegation of MPs and immediately suspend new regulations—which have just been implemented five years early—that will lead to the collapse of the British fireworks industry?

[Jo Swinson]

I know that my hon. Friend is speaking up for the industry on this issue. I met him at the end of last year. BIS policy officials have had two meetings with the industry. Lawyers have also had meetings, and a further meeting is due next week to try to resolve the issue he raises. Yesterday I received a letter from him and the hon. Members for Bracknell (Dr Lee), for Sherwood (Mr Spencer) and for Huntingdon (Mr Djanogly). I will be happy to meet them next week as a matter of urgency to discuss this.

Oral Answers to Questions

Debate between Jo Swinson and Bob Russell

Thursday 8th November 2012 Commons Chamber

[Sir Bob Russell (Colchester) (LD)]

14. If he will bring forward legislative proposals to prevent owners of businesses which have failed with debts outstanding from starting new businesses of an identical or similar nature.

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Jo Swinson)]

The Government have no current plans to bring forward legislation. We recognise that some businesses will fail, but we do not want to prevent entrepreneurs from learning from an initial business failure. I understand, however, the significant concerns that are expressed about so-called phoenix companies. I know my hon. Friend has worked tirelessly on behalf of his constituents on this issue, and I will keep it under close review.

[Sir Bob Russell]

Cavendish Conversions Ltd and, in my constituency, Number Nine Restaurant Ltd, have risen phoenix-like to start again in new guises thanks to dodgy financial gymnastics by their owners, leaving innocent citizens and businesses with serious financial losses. I urge the Government to take action against those people. It is unfair that they can rack up losses and start again.

[Jo Swinson]

I thank my hon. Friend for his question. He highlights the distress that is caused to his constituents—I know from my correspondence that this also applies to constituents across the country—when companies undertake the activities he describes. I look forward to meeting him to discuss this specific issue in a couple of weeks’ time. He has already introduced an Adjournment debate to go into his case in detail. I reiterate that we need to get the balance right between encouraging enterprise and protecting consumers and business, but I look forward to discussing the matter with him further.