Credit, Collections & Insolvency News
The Financial Policy Committee (FPC) has announced two new appointments. The Chancellor of the Exchequer, Rachel Reeves, has announced the appointment of Professor Stephen Blyth as an external member of the Financial Policy Committee. Professor Blyth is a British mathematician and academic who has served as Principal of Lady Margaret Hall, Oxford, since October 2022.…
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New research from ATM network Link has shown that fewer than half of UK adults leave home with a wallet or a purse. The research makes recommendations focused on making sure we have a resilient and effective payments system in a world where digital is increasingly dominant. It also gives hints and tips to people…
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Latest data from UK Finance has found that mortgage lending activity dipped in early Quarter 2 (Q2) following stamp duty changes but had recovered by June, with forward‑looking application data pointing to continued momentum into the third Quarter. The FCA’s mortgage affordability stress test has helped keep arrears low on mortgages granted since its introduction, but…
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Large organisations are to be criminally liable if they fail to prevent fraud, under new rules that come into force today. Under the new offence, companies could be held liable if one of their employees, agents or subsidiaries commits fraud with the aim of benefiting the business that they work for, unless able to demonstrate…
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The UK banking sector faces significant job losses as banks invest heavily in artificial intelligence (AI). A report from Juniper Research and Zopa Bank indicates that 27,000 roles, or 10% of the workforce, are at risk by 2030. The industry plans to invest £1.8 billion in generative AI, aiming for productivity gains primarily in back…
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High-cost lending firm Fernwood Financial has entered liquidation. Thousands of customers of the company will have had their debts wiped out following the company’s collapse. Liquidators are contacting clients to inform them of the debt write-off, and the Financial Conduct Authority (FCA) has confirmed that customers need not make further payments and should cancel automated…
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UK banks have closed more than one in three branches over the past five years, according to an analysis report by the Financial Times. The data shows that Lloyds, NatWest, Halifax and Bank of Scotland are set to close another 113 branches before the end of November. The number of bank, building society and credit union branches…
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Waltham Forest Council Employee Credit Union (WFCECU), trading as Forest Savers, has entered administration and has now stopped trading. The credit union was founded in the 1990s and is based in Walthamstow, London and acts as a financial cooperative, offering its members financial security through saving and borrowing. Dina Devalia and Terri Mulgrew of Quantuma…
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The Financial Conduct Authority (FCA) has issued a warning over scammers posing as car finance lenders, highlighting concerns over fraudsters offering fake compensation in exchange for personal details, such as names, addresses, birth dates and bank information. The regulator clarified that no car finance compensation scheme is currently in place, despite recent announcements about potential…
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Latest quarterly figures have shown that complaints to the Financial Ombudsman Service (FOS) fell to their lowest in more than a year in the April to June. Figures show that the FOS received 68,000 new cases in the period, with this down from 74,600 complaints seen a year ago. Complaints about motor finance were the…
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The Financial Conduct Authority (FCA) has announced that stricter regulations for electronic payment firms will come into force in May 2026. The new rules say companies must separate customer funds from their own, ensuring refunds in case of firm failures. The City watchdog says firms will face annual audits by qualified auditors, monthly reporting, and daily…
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The Bank of England’s Monetary Policy Committee (MPC) has voted to reduce the base rate from 4.25% to 4%. The MPC voted 5 to 4 in favour of the move, with the dissenting members preferring to leave rates unchanged at 4.25%. Commenting on the change, Ryan McGrath, Director of Second Charge Mortgages at Pepper Money, said “Interest rates…
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The Finance and Leasing Association (FLA) has criticised the Financial Conduct Authority’s (FCA) proposed redress scheme for car finance mis-selling, labelling it ‘completely impractical.’ Stephen Hadrill, Director General of the FLA has expressed concern about the scheme covering loans dating back to 2007, stating that both firms and customers may lack necessary documentation. The FCA…
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