Agenda item

The Chairman reported receipt of the following notice of motion from Cllrs Jon Hubbard and Mark Packard:

“This Council notes and welcomes the UK-wide campaign to end ‘legal loan sharking’.

This Council believes that the lack of access to affordable credit is socially and economically damaging with unaffordable credit causing a myriad of unwanted effects such as poorer diets, colder homes, rent, council tax and utility arrears, depression and poor health.

This Council further believes that unaffordable credit is extracting wealth from the most deprived communities.

This Council supports the principle that it is the responsibility of all levels of government to try to ensure affordable credit.

This Council therefore welcomes the various Credit Unions in Wiltshire and ask council to assist all it can in promoting them through council publications and website.

This Council urges residents who may have experienced difficulties in obtaining credit at reasonable rates to contact their local credit union and also encourages other residents to consider supporting the credit union by opening a savings account.

This Council calls on the Government to introduce a cap on the total lending rate that can be charged for providing credit.

This Council calls on the Government to give local authorities the power to veto licences for high street credit agencies where they could have negative economic or social impacts on communities.”

To assist Council in its consideration of this motion, a report by the Service Director, Communities, Libraries, Heritage and Arts was presented.

Once moved and seconded, Cllr Jon Hubbard was invited to speak to the motion. He thanked officers for the useful report. He explained the purpose of his motion was to try and protect the most vulnerable members of society and gave examples of substantial interest rates charged by a number of companies. He also added that the motion if adopted, would also seek to publicise the good work of credit unions.

The Chairman moved that the motion be debated and this was duly seconded by the Vice-Chairman and on being put to the vote, it was

Resolved:

That notice of motion no.19 be debated

The Chairman called on Cllr John Thomson, Cabinet member for Adult Care, Communities and Housing to open the debate before inviting Group Leaders and then opening the debate to other Councillors. Cllr Thomson responded to the motion and points made. Cllr Thomson whilst supportive of the general principle of the motion, proposed amendments to the wording which was duly seconded. Cllr Hubbard as mover of the original motion confirmed he was happy to incorporate the amendments to his motion subject to one minor change.

Resolved:

That motion no. 19 be adopted as amended, as follows:

“This Council notes and welcomes the UK-wide campaign to end ‘ door step money-lenders.

This Council believes that the lack of access to affordable credit is socially and economically damaging with unaffordable credit causing a myriad of unwanted effects such as poorer diets, colder homes, rent, council tax and utility arrears, depression and poor health.

This Council further believes that unaffordable credit is extracting wealth from the most deprived communities.

This Council supports the principle that it is the responsibility of all levels of government to try to ensure affordable credit.

This Council therefore welcomes the various Credit Unions in Wiltshire and ask council to assist all it can in promoting them through council publications and website.

This Council urges residents who may have experienced difficulties in obtaining credit at reasonable rates to contact their local credit union and also encourages other residents to consider supporting the credit union by opening a savings account.

This Council calls on the Government to:

a)    consider further measures to protect vulnerable members of the public from door step money-lending to include a cap on the total lending rate that can be charged for providing credit; and to

b)   give further support to local authorities to promote access to affordable credit.