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Debt news – 19 June 2022

So much news this week – hard to pick one!


Debt news

Bank Rate increased to 1.25% Bank of England Monetary Policy Committee June minutes: the MPC voted by a majority of 6-3 to increase Bank Rate by 0.25 percentage points, to 1.25%. Those members in the minority preferred to increase Bank Rate by 0.5 percentage points, to 1.5%

  • Bank of England raises base rate to 1.25% – its fifth hike in six months: What does it mean for mortgage borrowers and savers? Mail

Interest-free loan scheme aims to reach 20,000 people BBC: it is now being expanded in a larger pilot phase to various locations across the UK which will last for up to two years. My comment – so after a sub-micro pilot we now have a slightly larger one that lasts another two years – kicking the can down the road.

UK commits to reform of the Consumer Credit Act gov.uk: Plans to modernise consumer credit laws to cut costs for businesses and simplify rules for consumers My comment – laudable aim, the devil will be in the detail.

Freezing Houses Nearly Legal blog: bizarre breathing space claimed by notorious landlord – entertaining reading.

Treasury Committee urges Government to remember lessons of financial crisis in report on Future of Financial Services Regulation Parliament Committee: While regulators should not be carrying out social policy, or filling the gaps where the Government ought to be stepping in, the Committee recommends that the FCA should have regard for financial inclusion in its rule-making. 

Dear CEO – The rising cost of living – acting now to support consumers FCA: Firms need to remain alert to the changing situation of their
customers and target their efforts in response.

Outcomes Report – 2021 Money Advice Trust: Energy arrears became the most common priority debt.

Man who finally got off streets after 25 years faces homelessness just months later Mirror: he says the pile-up of bills and debts has left him in a desperate situation once again.

Buy now, pay later: your rights over refunds as Missguided collapses Guardian: The fashion brand is not paying buyers back – but big finance firms say they will return cash.

More women are taking out loans to cover maternity leave as time off sets them back two years financially Mail: One in four women go into debt to cover their maternity leave.

Benefits & other news

A fairer private rented sector gov.uk: This white paper sets out our plans to fundamentally reform the private rented sector and level up housing quality in this country.

  • Shelter’s response – they like it.

‘We lost 72 beautiful people. For them, we keep fighting’: Grenfell survivors speak out five years on Guardian: The tower’s former residents talk about the night when everything changed – and their long battles to regain some kind of normality.

Has the US Learned Nothing From the UK’s Gambling Woes? Wired:  As American sports betting accelerates, a similar reckoning is sure to follow.

Farewell to the servant economy FT (paywall): ‘On-demand’ services might have made people feel wealthy, but now the model is in jeopardy.

Is it worth paying for a bigger state pension as I don’t have 35 years of National Insurance contributions? Mail: For most people who have gaps in their employment history, buying the top-up is a good idea.


News round-ups are published every Sunday. 
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June 19, 2022 Author: Sara Williams

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