§ Mr. Nelsonasked the Minister for Trade (1) when he intends to lay the necessary draft order to increase the limit of value in the Hire Purchase Act;
(2) what progress he is making with his study of comments on draft regulations under the Consumer Credit Act 1974.
§ Dr. VaughanI have today laid before the House a draft Order in Council to increase the limit of value in the Hire-Purchase Acts from £5,000 to £7,500. This will largely restore the protection for consumers intended by Parliament when the limit was last increased in 1978 but at the same time should keep the burden on the credit industry to the minimum. My right hon. Friend the Secretary of State for Northern Ireland will make a similar Order, subject to negative resolution, under the Hire-Purchase (Northern Ireland) Act 1966. If approved, the orders will take effect on 1 June 1983.
I have completed my study of the comments received on the draft regulations implementing the remaining provisions of the Consumer Credit Act 1974, and I hope to lay the regulations before Parliament shortly.