Financial Services Bill

Memorandum submitted by the Chair of Trustees, MK Money Lifeline

(FS 12)

I'm writing as the Chair of Trustees of MK Money Lifeline, a newly formed Debt Advice service for Milton Keynes. The new trust was formed to take over the running of an organisation which was until January 2012 run under the aegis of New Life Church MK West, which has sadly come to an end. All of us were passionate about keeping the work going, so after a lot of work we have been able to form a company limited by guarantee which has set up the new trust (Registered Charity No.1146001, based as before in Acorn House CMK). I may write again about our vision, but meanwhile I am also writing as one of your constituents to let you know about my support for amendment 87 to the Financial Services Bill currently being debated by parliament. This would give the new financial regulators the ability to cap the excessive costs of credit and so help tackle legal loan sharking.

Giving these new powers to this body to address the conduct of this industry and the costs of financial products like payday loans would send a strong message to this industry about the rates of interest that are acceptable to charge. It could therefore make a real difference to the millions of Britons now struggling financially who are borrowing from these companies to make ends meet by encouraging firms to cut their charges.

Please co-sign Amendment 87 and encourage your colleagues who are on the committee to vote in favour of this amendment when it is debated in the coming days. The MPs on the committee are listed below for your information- thank you in advance for your support for these proposals and the campaign to tackle legal loan sharking.

Thank you for your time.

March 2012

Prepared 15th March 2012