Consideration of Bill: 25 January 2010

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Financial Services Bill, continued

(2)	After section 60, insert—

“60A	Form and content of retail credit-token agreements

(1)	The Secretary of State may make regulations as to the form and content

of documents embodying retail credit-token agreements, and the

regulations shall contain such provisions as appear to him appropriate

including requirements to ensure that—

(a)	the rate of interest on the credit to be provided under the

agreement for credit (or all the rates on a per annum basis where

there is more than one rate of interest) does not prejudice the

interests of debtors; or

(b)	the agreement for credit includes a seven day cooling off period

during which credit would not be available to the debtor.

(2)	‘Retail credit-token’ means a credit-token (which has the meaning given

by section 14(1)) which results in the provision of credit under a credit-

token agreement provided by a retailer or group of retailers which can

only be used for purchases from the retailers concerned.

(3)	A ‘retailer’ means a person or business providing goods and services to

an individual.

(4)	Accordingly, a ‘retail credit-token agreement’ is a regulated agreement.”.

(3)	For section 67, substitute—

“67	Cancellable Agreements

(1)	A regulated agreement that is not a retail credit-token agreement may be

cancelled by the debtor or hirer in accordance with this Part if the

antecedent negotiations included oral representations made when in the

presence of the debtor or hirer by an individual acting as, or on behalf of

the negotiator, unless—

(a)	the agreement is secured on land, or is a restricted-use credit

agreement to finance the purchase of land or is an agreement for

a bridging loan in connection with the purchase of land, or

(b)	the unexecuted agreement is signed by the debtor or hirer at

premises at which any of the following is carrying on any

business (whether on a permanent or temporary basis)—

(i)	the creditor or owner;

(ii)	any party to a linked transaction (other than the debtor or

hirer or a relative of his);

(iii)

the negotiator in any in any antecedent negotiations.

(2)	A retail credit-token agreement may be cancelled by the debtor in

accordance with this Part.”.

(4)	For section 68, substitute—

“68	Cooling-off period

The debtor or hirer may serve notice of cancellation of a cancellable

agreement between his signing of the unexecuted agreement and—

(a)	the end of the fifth day following the day on which he received a

copy under section 63(2) or a notice under section 64(1)(b), or

(b)	if (by virtue of regulations made under section 64(4)) section

64(1)(b) does not apply, the end of the fourteenth day following

the day on which he signed the unexecuted agreement, or

Consideration of Bill: 25 January 2010

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Financial Services Bill, continued

(c)	if the cancellable agreement is a retail credit-token agreement,

the end of the seventh day following the day on which he signed

the unexecuted agreement.”.’.

Bank charges

Mr Andrew Love

NC15

To move the following Clause:—

‘(1)	The Unfair Terms in Consumer Contract Regulations 1999 (S.I. 1999/2083) is

amended as follows.

(2)	After Regulation 6(1), insert—

“(1A)

Paragraph 2 shall not apply to contracts for the supply of financial

services.”.

(3)	After Regulation 6(2) insert—

“(3)	In so far as it is in plain and intelligible language, the assessment of a term

in a contract for financial services shall not relate—

(a)	to the definition of the main subject matter of the contract, or

(b)	to the adequacy of the main price or remuneration, as against the

goods or services supplied in exchange.

(4)	Where a term of a contract provides for the charging of a consumer and

the circumstances in which that charge can be imposed need not arise

during the term of the contract, then such price or remuneration shall not

fall within the main price or remuneration for the purposes of paragraph

(3).

(5)	If, for the purposes of paragraph (3) there is doubt about what represents

the main price or remuneration, the interpretation which is most

favourable to the consumer shall prevail.”.’.

Mr Mark Hoban

3

Page  1,  line  3,  leave out Clause 1.

Mr Mark Hoban

6

Page  3,  line  16  [Clause  3],  at end insert—

‘(4)	Where a matter has been omitted from either the annual report or the minutes

published under section 2(4), where the action involves financial assistance as

Consideration of Bill: 25 January 2010

432

Financial Services Bill, continued

defined in section 257 of the Banking Act 2009, a report should be laid before

Parliament when the conditions under (3) above no longer apply.’.

Mr Mark Hoban

5

Page  4,  line  9  [Clause  5],  at end insert—

‘(d)	proceedings of the Council for Financial Stability as set out in section 2.’.

Mr Mark Hoban

4

Page  4,  line  10  [Clause  5],  after ‘Treasury’, insert ‘and the Bank of England’.

Mr Mark Hoban

7

Page  4  [Clause  6],  leave out lines 14 to 16.

Mr Mark Hoban

8

Page  6,  line  17  [Clause  8],  at end insert—

‘(3A)

(a) In discharging the duty under subsection (1) the Authority must produce an

annual report setting out progress made, and the report should include

information about, among other things—

(i)	compliance in the UK with the principles set out in (3)(a) above;

(ii)	comparable progress made in other countries; and

(iii)

the impact of any significant divergence between the information

set out in 3A(a)(i) and 3A(a)(ii) above.

(b)	The Authority must lay a copy of the report before Parliament.’.

Mr Mark Hoban

9

Page  7,  line  10  [Clause  9],  after ‘person’, insert ‘in relation to whom any power

under Part 1 of the Banking Act 2009 is exercisable’.

Mr Mark Hoban

10

Page  8,  line  21  [Clause  11],  after ‘person’, insert ‘in relation to whom any power

under Part 1 of the Banking Act 2009 is exercisable’.

Consideration of Bill: 25 January 2010

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Financial Services Bill, continued

Mr Mark Hoban

11

Page  8,  line  37  [Clause  11],  at end insert—

‘(4A)

The general rules do not include provisions made by the Authority’s

remuneration code’.

Mr Mark Hoban

19

Page  8,  line  38  [Clause  11],  leave out ‘The Treasury may direct the authority to’

and insert ‘The Authority must’.

Mr Mark Hoban

20

Page  8  [Clause  11],  leave out lines 42 and 43.

Mr Mark Hoban

12

Page  9,  line  27  [Clause  11],  at end insert—

“‘The Authority’s remuneration code” means the code published by the

Authority on 12 August 2009’.

Mr Mark Hoban

13

Page  9,  line  37  [Clause  12],  after ‘person’, insert ‘in relation to whom any power

under Part 1 of the Banking Act 2009 is exercisable’.

Mr Mark Hoban

14

Page  10,  line  27  [Clause  12],  after ‘person’, insert ‘in relation to whom any power

under Part 1 of the Banking Act 2009 is exercisable’.

Mr Frank Field

Ms Katy Clark

Mr Andrew Dismore

Kate Hoey

Mr Chris Mullin

Mr Peter Kilfoyle

Total signatories: 15

1

Page  13,  line  32,  leave out Clause 13.

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434

Financial Services Bill, continued

Mr Mark Hoban

15

Page  25,  line  17  [Clause  22],  after ‘proceedings’, insert ‘to modify the rules made

under section 24 below’.

Mr Mark Hoban

16

Page  26,  line  10  [Clause  22],  leave out ‘negative’ and insert ‘affirmative’.

Mr Mark Hoban

18

Page  31  [Clause  26],  leave out lines 10 to 13.

Mr Mark Hoban

17

Page  31  [Clause  26],  leave out lines 14 and 15 and insert—

‘(8)	The rules must also include provision for—’.

Mark Durkan

Mr Eddie McGrady

Lady Hermon

Sammy Wilson

Mr Nigel Dodds

David Simpson

Total signatories: 7

2

Page  50,  line  43  [Clause  38],  at end insert—

‘(2A)

Section [Financial Services Authority regulation of Northern Ireland credit

unions] shall come into force at the end of the period of six months beginning

with the day on which this Act is passed.’.

Order of the House [30 November 2009]

That the following provisions shall apply to the Financial Services Bill:

Committal

1.	The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

2.	Proceedings in the Public Bill Committee shall (so far as not previously

concluded) be brought to a conclusion on Thursday 14 January 2010.

3.	The Public Bill Committee shall have leave to sit twice on the first day on

Consideration of Bill: 25 January 2010

435

Financial Services Bill, continued

which it meets.

Consideration and Third Reading

4.	Proceedings on consideration shall (so far as not previously concluded) be

brought to a conclusion one hour before the moment of interruption on the

day on which those proceedings are commenced.

5.	Proceedings on Third Reading shall (so far as not previously concluded) be

brought to a conclusion at the moment of interruption on that day.

6.	Standing Order No. 83B (Programming committees) shall not apply to

proceedings on consideration and Third Reading.

Other proceedings

7.	Any other proceedings on the Bill (including any proceedings on

consideration of Lords Amendments or on any further messages from the

Lords) may be programmed.

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Revised 25 January 2010