Question to the HM Treasury:

To ask the Chancellor of the Exchequer, with reference to the report by the Centre for Social Justice entitled Swimming with Sharks, what steps his Department is taking to address the risk of illegal money lending.

HM Treasury regularly monitors developments in the consumer credit market, including those regarding illegal money lending, as part of its normal process of policy development.

However, it does not conduct research regarding the scale of illegal money lending in England. Instead, HMT draws on the research of various stakeholders, including the England Illegal Money Lending (IMLT) team, consumer groups and thinktanks, to inform policy development.

HM Treasury recognises the risks posed by illegal lenders and the harmful impacts they cause to their victims and communities.

That is why, in financial year 2022/23, the Government will provide over £6.7 million of funding to IMLTs across the UK, an increase of over 5% compared to 2021/22. This funding enables IMLTs to investigate and prosecute loan sharks and use their legal powers to tackle the wider criminality they inflict on communities, such as violence and blackmail.