§ 37. Mr. Roy Jenkinsasked the President of the Board of Trade whether he has yet reached a decision about the collection of hire-purchase statistics from retail traders.
§ Mr. P. ThorneycroftNo, Sir. I am continuing to investigate the practical problems of collecting these statistics, but there are many difficulties.
§ Mr. JenkinsIs the right hon. Gentleman aware that every commentator who has written about hire-purchase in recent months has referred to the complete absence of statistics here? Is he further aware that figures are available in the United States, and that he has 605 left his right hon. Friend the Chancellor to take a very big leap almost completely in the dark?
§ Mr. ThorneycroftI agree with the hon. Gentleman that there is substance in the complaint that the statistics of consumer credit of this character which are available are inadequate, and I am looking into the situation with a view to seeing whether I cannot get better figures made available, without placing upon the traders concerned too great a burden in the way of forms and inquiries.
§ Mr. K. ThompsonIn trying to reach a decision upon this matter of the collection of hire-purchase statistics, will my right hon. Friend also try to institute some system by which he can learn what is happening in the check clothing trade, which also offers credit on a very large scale?
§ Mr. ThorneycroftOne of the difficulties is that the question of consumer credit covers a fairly wide field, but there is substance in the point that better statistics could be made available.
§ Mr. JenkinsHas the right hon. Gentleman yet consulted retail organisations in the matter, and, if so, has he had any answers?
§ Mr. ThorneycroftI am consulting all the appropriate organisations upon this subject.
§ Mr. GaitskellDoes not the right hon. Gentleman agree that a sample investigation would probably give him the information he wants as to the trend of hire-purchase credit?
§ Mr. ThorneycroftThat may be so, and it is one of the possibilities that I am bearing in mind.
§ 40. Mr. Rankinasked the President of the Board of Trade if he is aware that on the last occasion when hire purchase was restricted the regulations were evaded by a system of rental agreements; and what steps he is now taking to prevent a recurrence of this practice.
§ Mr. P. ThorneycroftThe new Order, like the old, does not apply to simple hire. It contains, however, a new 606 definition of hire-purchase agreements in order to avoid certain difficulties which arose last time.
§ Mr. RankinCan the Minister assure us that under the hire-purchase restrictions the system of rental agreements which resulted in such vicious exploitation upon the last occasion is not going to be possible?
§ Mr. ThorneycroftI have said that the definition is so drawn as to avoid certain of the difficulties which arose last time.
§ Mrs. BraddockWill the President get some of his inspectors to check up upon the type of repayment book which is being issued in respect of hire-purchase agreements? There are cases where the only way a person can tell the difference between rental payment and hire-purchase buying is by a slip of paper stuck in the back of the book. Does not he think it is time that this matter was looked at in order to see whether a very definite distinction can be made between the type of book used for hire-purchase payments and the type used for rental payments?
§ Mr. ThorneycroftI shall naturally use my best endeavours to see that the law as it stands is enforced.