In February it was announced that the Office of Fair Trading was investigating the payday loan industry in the U.K.  Now, a new Business, Innovation and Skills Committee report into Debt Management is under way.
John Lamidey, chief executive of the CFA said, “the CFA welcomes any move which promotes best practice and responsible lending in the payday industry, so we fully support the recommendations in the report. However, we believe that significant progress is already being made to improve standards in the industry through other research and governmental reviews that are currently underway and that the report’s recommendations need to be considered in the context of these developments.”

He went on to say that the CFA and its members are actively participating in the BIS research into the total cost of credit, as well as aiding the Office of Fair Trading in its review. 
“The CFA is working pro-actively with BIS and other major trade associations to address legitimate concerns through an enhanced Code of Conduct that is due to be launched next month. The Code features a wide range of consumer protections including limits on rollovers, transparency in advertising and assistance for consumers who get into financial difficulty,” Lamidey added.
The Consumer Finance Association (CFA) is a trade association which represents the interests of businesses offering short term, unsecured personal loans, sometimes known as payday loans. CFA members are licensed and regulated by the Office of Fair Trading.