If the FCA’s update on high-cost credit actually proposed anything it would have been my top pick, but it doesn’t, just more delays and consultations. So my selections for this week are my own story on the 2017 Insolvency Statistics and the interesting piece by James Plunkett for CAB: Markets don’t work like they used to.
Graph of the week
— Michael O’Connor (@StrongerInNos) February 1, 2018
2017 Insolvency Statistics – the real story my view on last week’s statistics.
Average £33,900 debt among retirees Moneyfacts: The latest figures show that the number of people retiring in debt continues to climb, as one in five people expecting to retire this year owe an average of £33,900. Prudential’s ‘Class of 2018’ research furthermore reveals that these debts are nearly 40% higher than those of last year’s retirees.
FCA publishes update on high-cost credit work FCA: “In most areas the FCA intends to publish conclusions and proposals for consultation in the Spring. Overdrafts will be addressed as part of the FCA’s Strategic Review of Retail Banking Business Models, which will be reporting later this year.” deep sigh…
- Tackling the vicious cycle of debt Rachel Reeves blog: Yesterday, the Financial Conduct Authority had a golden opportunity to curb the pernicious fees levied by many lenders on unarranged overdrafts and high-cost credit. Despite its announcement last July that it would examine these extortionate charges, the FCA’s update fails to outline any specific action on an issue that affects millions of borrowers.
Lumbered with £63k debt Mike’s fears grew ‘darker and darker’ Blackpool Gazette: A resort DJ swamped with debt was left in a coma after swallowing a cocktail of pills in a suicide attempt – and has now made an emotional plea for others to speak out about their mental health.
Bank of England at forefront of global rates dilemma Reuters: markets see a 50 percent chance that there will be another move in May, a relatively quick follow-up to the BoE rate hike in November, the first for a decade.
Justine Greening calls for return of student grants BBC: Former education secretary Justine Greening says maintenance grants for poorer students in England should be reinstated, after being scrapped by the government last year.
Citizens Advice call to investigate ‘cost of loyalty’ BBC: The charity is calling for an investigation by the UK’s competition watchdog into what it calls the extra price of “loyalty”. Customers who do not switch are often moved onto default tariffs.
Ombudsman news issue 143 – Got it covered? Financial Ombudsman newsletter
- Thousands of Universal Credit claimants unable to use Gov.uk Verify to apply for benefits Computer Weekly: barely one-third of benefits claimants can successfully apply for new Universal Credit digital service using flagship online identity system.
- ‘I was sanctioned for going to a funeral’ BBC
- Universal credit system faces landmark legal challenge Guardian: Lawyers for terminally ill man who say new system costs him almost £200 a month win right to judicial review.
Regulators have admitted that online bookies have been ‘conning’ the public – but they haven’t gone far enough Independent: After years of trapping players’ money and raking in billions unfairly, what penalty was given to operators? None. They were just asked, very nicely, to stop wagering requirements.
Markets don’t work like they used to — and people are starting to notice Citizens Advice blog: Big data is changing how markets work. From the way prices are set to how products and services are designed, consumer markets are entering a new and unfamiliar phase.
London council tenants in line for water payouts BBC: At least 170,000 tenants across 14 councils could be given money back.
Police tracked down my stolen £13k – but HSBC doesn’t have to give it back Telegraph: The bank that receives the stolen money will often refuse to pay it back to the victim without an “indemnity” from the victim’s bank. Persuading banks to issue an indemnity can be a difficult and time-consuming process.