Labour MP Paul Blomfield will introduce a private members bill on Wednesday with the aim of creating a harsher regulatory environment for payday lenders.
The Sheffield Central MP's 'High Cost Credit Bill' proposes to introduce lending limits, cap excessive charges, and require lenders to refer borrowers experiencing repayment difficulties to free, independent debt advice. The Bill argues in favour of moving interest rates from APR to a more representative system which would instead illustrate the pound cost per hundred pounds borrowed over a thirty day period. Blomfield said: "Payday money lenders are making millions from extortionate loans to some of the most vulnerable in Sheffield and across the country. In hard times, it's no wonde...
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