Consumer Credit Bill

My Lords, I cannot agree with the noble Lord, Lord Borrie. I strongly support the amendment moved in a reasonable fashion by my noble friend Lord De Mauley, but this House should not be mislead by the reasonableness of his argument to think that the amendment is not going to be pressed. I believe that it should be, and I shall explain why. The noble Lord, Lord Borrie, argued that Amendment No. 2 is, in part, a statement of the obvious. Therefore, he can surely have no objection to it. In relation to subsection (2)(b) of the new clause, the argument of the noble Lord, Lord Borrie, and, perhaps, of the Minister is that there is no clear definition. The Minister argued that the word ““irresponsible”” would be covered by guidance and guidance could cover subsection (2)(b). This House should look at whether, on balance, this amendment is helpful. It is helpful in a deregulatory sense for three reasons. First, it is clear—clearer than the references in the two earlier pieces of legislation put together. Indeed, it is not an exact replication in terms of earlier legislation. Secondly, it is balanced. Here I agree with the noble Lord, Lord Borrie, because the amendment balances the need to protect the consumer. My noble friend Lady Miller of Hendon has consistently said throughout the proceedings on the Bill that we on these Benches support clear, sensible, practical protection for the consumer. But one must also remember the suppliers; that is, the industry. It is important that legislation strikes a balance. Finally, the language of the amendment emphasises the importance of light regulation. I hope that the House will accept the amendment. The noble Lord, Lord Razzall, spoke about the guidance. I am unpersuaded that the argument advanced on Report was erroneous. It was that Parliament is not seeking to interfere with the decisions of the OFT. All that Parliament is asking is that the Minister should approve the issuance of the guidance and therefore be answerable. That is a clear, sensible, parliamentary procedure and principle, and I hope that this House will accept it.