Chris Leslie MP, Labour's Shadow Treasury Minister, commenting on the payday lenders 'summit' tomorrow, said:
“Urgent action is needed to grip the regulation of the payday loan industry, as the number of cases of misery and hardship are growing rapidly because of pressures on living standards and personal finance.
“The Government have consistently ducked clamping down on predatory pricing and extortionate interest charges – despite Labour securing an amendment in the House of Lords last year which gives regulators the ability to control costs and loan duration. Instead of resisting action now, Ministers should use their summit meeting to announce steps which prevent vulnerable customers from being fleeced so unfairly. When the OFT have found that half of the profit for these firms is generated from roll-over loans, we also need action to prevent people becoming ensnared in very high interest personal debt year after year.”<div>