Credit, Collections & Insolvency News
Nearly a quarter of a million parents on Universal Credit fear not being able to properly feed their children if cut to benefit goes ahead, according to report from the Trussell Trust. The report warns of a growing need for food banks from people claiming Universal Credit as one in five people on the benefit…
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Energy regulator, Ofgem has announced that from 1st April 2021 the price cap will rise and return to pre-pandemic levels, principally as a result of changes in wholesale energy prices. The regulator said the price cap for default domestic energy deals would be raised to cover suppliers’ extra costs. Wholesale prices fell sharply last year in the wake of the first…
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The Money Advice Trust has urged the government to prioritise reforms to the way it collects debts following the Cabinet Office’s publication of responses to its call for evidence on fairness in government debt collection. The publication highlights evidence submitted to the government on the widespread issues with the current approaches to debt collection in…
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Household water bills are set to drop by an average of £2 from April, which after inflation will be the same rate as a decade ago. Bills and reductions vary between companies, but most households will save at a time when more customers across England and Wales are accessing payment support schemes than ever before.…
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The Financial Wellness Group has urged the Financial Conduct Authority (FCA) for change to ensure that the debt advice sector is funded sustainably and that debt solutions are accessible. Deborah Ware, chief operating officer at Financial Wellness Group says that “Change is needed to ensure that the debt advice sector is funded sustainably and that…
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Ofwat has announced the appointment of David Black as its Interim Chief Executive following Rachel Fletcher’s decision to take up a new role in the energy sector. Fletcher has been Ofwat’s CEO since January 2018, and will be leaving Ofwat to take up a new leadership role with Octopus Energy. David Black joined Ofwat in…
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Energy suppliers have increased bills by £78 since the start of December, as the new price cap level could rise for millions of households, according to research from comparethemarket.com. A decision on whether the default energy price cap will change from its current level of £1,042, for dual fuel average consumption households, is expected to…
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The Government has announced that it will legislate to bring currently unregulated, interest-free Buy-Now-Pay-Later (BNPL) into Financial Conduct Authority regulation in order to protect consumers under new plans announced by the government. The Government says that buy-now-pay-later products are rapidly increasing in popularity, with the volume of transactions tripling in 2020 as the pandemic drove…
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Energy regulator, Ofgem has appointed EDF to take on supplying Green Network Energy’s approximately 360,000 domestic customers and a small number of non-domestic customers. Separately, it has appointed British Gas Evolve, a trading name to take on supplying Simplicity Energy’s approximately 50,000 domestic customers following a competitive process run by Ofgem to get the best deal possible for customers. EDF and British Gas Evolve are offering customers a…
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Almost six in ten prepay customers are worried about their energy bills during national lockdown according to new research by Smart Energy GB. The research found that almost two thirds (65%) of energy customers on a non-smart prepay meter claim that their energy spend has increased during national lockdowns caused by the pandemic. The increase…
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Latest statistics from the Insolvency Service have indicated that there were 111,424 personal insolvencies in 2020, a fall of 9% on 2019’s figure of 121,882. The decrease was driven by a 25% reduction of both bankruptcies and DROs. The fall in DROs and debtor bankruptcies in the last three quarters of 2020 corresponds with a…
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Energy regulator, Ofgem has announced that two energy companies, Green Network Energy and Simplicity Energy have entered administration. The companies have over 410,000 domestic customers as well as business accounts. Green Network Energy, a medium-sized gas and electricity supplier with about 360,000 customers, has stopped trading, as has smaller firm Simplicity Energy, which has about…
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The Financial Conduct Authority has confirmed that it has extended its current guidance so firms should not enforce mortgage repossessions before 1st April as a result of the pandemic, except in exceptional circumstances. The guidance on consumer credit will permit firms to repossess goods and vehicles from 31st January 2021. In November 2020, banks and…
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