Debt Management

DM 15

Written evidence submitted by the UK Cards Association

The UK Cards Association’s response to the Call for Evidence ("Managing Borrowing & Dealing with Debt") focussed on those areas which were of greatest relevance to the cards industry, primarily around the areas of rate capping and re-pricing. We also supported the submission from the British Bankers’ Association (BBA), where there is a significant overlap in membership, in respect of the more general issues across the debt management and personal insolvency landscape.

This BIS Committee inquiry focusses on Debt Management and we again fully support the BBA’s response. However, there are two specific points which we would particularly like to make:

Breathing Space

The Association was instrumental in delivering the original commitment in early 2009, working very closely with our colleagues from across the debt advice sector. We very much welcome the Government’s approach in building on existing voluntary codes and in particular the decision to engage with non-financial creditors, including local authorities and government departments. We believe it to be important that these discussions are now progressed with some urgency

Credit Data Sharing

We understand that it is the Government’s intention to resurrect the previously formed cross-Whitehall data sharing group. We very much welcome this and look forward to playing a leadership role in developing its priorities. However, we are concerned that it has been some time since this was announced and we would hope that this work will gather pace over the coming weeks.

The UK Cards Association is the leading trade association for the cards industry in the UK. It is the industry body of financial institutions who act as card issuers and/or acquirers in the UK card payments market and is responsible for formulating and implementing policy on non-competitive aspects of card payments. The Association promotes co-operation between industry participants in order to progress non-competitive matters of mutual interest and seeks to inform and engage with stakeholders to advance the industry for the ultimate benefit of its members’ consumer and retail customers.

Should you have any queries regarding this submission, I would be pleased to discuss further. I have also re-attached our full response to the original Call for Evidence.

14 November 2011