BIS – Negotiating Line for the Consumer Rights Directive on the Concept of Assessability for Unfairness in Consumer Contracts

Closes 24 August 2010

 

The Department for Business Innovation & Skills, BIS, is seeking views to inform its negotiating position on the Consumer Rights Directive as to whether contingent or ancillary charges should be assessed for unfairness under the unfair contract terms provisions. The Supreme Court judgement in the OFT v Abbey National plc case has led to uncertainty as to how UK legislation on unfair terms in consumer contracts applies to charges that are “contingent”, or “ancillary” to the core of the contract. The EU Consumer Rights Directive is currently being negotiated, and will replace four existing Directives including the Unfair Contract Terms Directive, which forms the basis of the UK law on unfair contract terms. The Commission or Members of the European Parliament may seek to address the issue when the proposal comes up for debate in the autumn. The UK Government therefore needs a negotiating line to take for subsequent discussions in the Council of Ministers as to whether contingent or ancillary charges should be assessed for unfairness. This Call for Evidence invites views on a number of specific issues to help inform the development of the UK Government’s negotiating position in advance of discussions in the EU’s Council of Ministers later this year.

 

FSA – Consultation on competence and ethics

Closes 6 September 2010

 

The Financial Services Authority (FSA) has published proposals to strengthen its requirements on competence for individuals carrying out retail activities, while placing more emphasis on standards of ethical behaviour. Reflecting the FSA’s increased focus on competence, the proposals include the introduction of a 30-month deadline for individuals to complete all modules of a qualification required for their role. Further proposals clarify how individuals carrying out approved persons’ roles should demonstrate a good standard of ethical behaviour: they will be expected to act in the interests of their client, avoiding consumer detriment and taking responsibility for their own level of competence. The proposals seek to increase standards of professionalism across the industry, complementing the Retail Distribution Review plans and rules that are already in place for investment advice.

 

BIS – Consultation on Implementation of EU Directive on Timeshare, Long-term Holiday Products, Resale and Exchange Contracts

Closes 1 October 2010

 

The Department for Business Innovation & Skills, BIS, is seeking the views of businesses, consumers, enforcement authorities and other interested parties on a set of draft regulations that it is proposed will transpose the Timeshare, Long-term Holiday Product, Resale and Exchange Contracts Directive (2008/122/EC) into UK law. In particular, it is seeking views on its policy proposal to repeal the current Timeshare Act 1992 and not to retain the limited coverage of the current legislation in respect of business-to-business transactions. BIS is also keen to receive views on how the regulations should be enforced with a view to identifying the most appropriate way of meeting its obligations under the Directive to have in place “adequate and effective means to ensure compliance by traders with this directive”.

 

Ministry of Justice - Call for Evidence on the data protection legislative framework

Closes 6 October 2010

 

This Call for Evidence seeks evidence about how the European Data Protection Directive 95/46/EC and the Data Protection Act 1998 are working, and their impact on individuals and organisations. The objective is to help inform the UK’s position on negotiations for a new EU data protection instrument, which are expected to start in early 2011. At the same time as launching this Call for Evidence, the government has published a provisional post implementation review impact assessment of the Data Protection Act 1998, on which it would also welcome comments. This impact assessment complements the Call for Evidence, and publication of a full impact assessment is planned for the end of 2010.

 

OFT - e-Consumer protection consultation

Closes 13 October 2010

 

The government has asked the Office of Fair Trading to develop a longer term national strategy for consumer protection on the Internet. The objective of the strategy, to be delivered by the end of 2010, is to enable the OFT, local authority Trading Standards Services and other agencies to work together more effectively. The result of the strategy will be to improve effectiveness of online markets, thereby increasing the level of sustainable trust. There are three broad areas on which this consultation focuses:

 

• promoting business compliance by improving the effectiveness of guidance, facilitating industry-led solutions to new problems, and sharing intelligence;
• developing effective enforcement through working with businesses and other enforcers, developing further enforcement capacity, and focusing on areas where enforcement has the most impact; and
• empowering consumers by explaining their rights and the benefits of transacting online, helping them become more internet-savvy, and providing them with the tools to fix problems they may encounter.

 

HM Treasury – A new approach to financial regulation

Closes 18 October 2010

 

As announced by the Chancellor of the Exchequer in his Mansion House speech on 16 June 2010, the government is now embarking on a programme of reform to renew the UK’s system of financial regulation, and to make it stronger and more effective for the future. The government believes that reform to the regulatory framework must address a number of fundamental issues:

 

• macro-prudential regulation;
• prudential regulation of individual firms; and
• consumer protection and markets regulation.

 

On the basis of this consultation and continuing policy development by the Treasury, the government will present more detailed proposals – including draft legislation – for further consultation early in 2011.

 

BIS - Review of consumer credit and personal insolvency

Closes early 2011

 

The Consumer Affairs Minister Edward Davey has announced that a review of consumer credit and personal insolvency will be undertaken by the government. It will cover a number of areas, including:

• How consumers enter into credit commitments, the way in which credit is sold and the extent to which consumers understand their financial commitments;
• What issues arise during the lifetime of a loan from both the consumer and the lender perspectives; and
• Whether the current insolvency solutions are fit for purpose.

 

The Call for Evidence will be issued after the summer recess, and this should lead to a consultation on specific proposals later this year or early 2011.