HC Deb 28 January 1974 vol 868 cc21-2
18. Mr. Goodhart

asked the Secretary of State for Trade and Industry whether he is satisfied with the working of the Unsolicited Goods and Services Act 1971.

Mr. Onslow

The Act appears to be working as intended, but I am watching its operation closely in the light of recent developments.

Mr. Goodhart

As one of the objectives of the Act was the elimination of bogus business directories and as the promoters of those bogus directories have been showing remarkable ingenuity recently, would not my hon. Friend agree that this is yet another matter which should be referred to the Director General of Fair Trading?

Mr. Onslow

This is not a consumer problem in the terms of the Fair Trading Act and it falls outside the scope of the director general's activities. However, if in his references to ingenuity my hon. Friend is referring to those gentlemen who are sending invoices here from the Irish Republic, for examule, I can tell him that under the terms of the Universal Postal Convention an obligation is im- posed on other countries in these matters and the Post Office has drawn the attention of overseas postal administrations to the implications of the 1971 Act.

Mr. Arthur Davidson

Are not these trade directory firms still operating almost as actively as they were before the passing of the Act? Does not their ingenuity—if that is not too polite a word to use—extend to using in small print the words "this is not an assertion for payment" when quite clearly it is a demand for payment aimed solely at getting money which is not due to them? Is not a closer look at the Act and its working overdue?

Mr. Onslow

I am closely watching the operation of the Act. There have been convictions under it and I am sure that the hon. Member, as one of its sponsors, welcomes that fact. The Act was designed not to stop people being asked to buy entries in directories but to give people some protection when sent what can best be described as bogus invoices. However, in this activity as elsewhere, there is a certain duty on people to read the small print.

Mr. Rost

Where there have been prosecutions of bogus trade directory companies, is it not a fact that they have been so petty and insignificant as to be no disincentive? Is it not also a fact that these cases have not been publicised enough to warn the public against this dishonest trading practice?

Mr. Onslow

I do not think I can agree with my hon. Friend's assessment.

Mr. Rost

It is true.

Forward to