OFT DROP bank charges case - leaks by sky news and sarah mccarthy-fry in advance ..

[Amethyst]

Extract from Hansard

Quote:
Banks (Penalty Charges)

5. Mr. Alistair Carmichael (Orkney and Shetland) (LD): If he will take steps to limit the levels of penalty charges imposed by banks on their customers; and if he will make a statement. [306846]
The Exchequer Secretary to the Treasury (Sarah McCarthy-Fry): The Government announced in the pre-Budget report on 9 December that they would work with consumer groups, the Office of Fair Trading and the banks to agree a new framework that will make bank charges fairer, simpler and more transparent. The Government will take action to deliver change if a voluntary approach does not result in a fair outcome for consumers.
Mr. Carmichael: I thank the Minister for that very helpful reply. She was given a fairly broad hint by the judgment of Lord Walker in the case of Abbey National and others, when he said that his decision was

• "not the end of the matter,"

and that

• "Ministers and Parliament may wish to consider the matter further."

What can she do to review the operation of section 140 of the Consumer Credit Act 1974, which requires fairness in the contractual relationship between banks and customers?

15 Dec 2009 : Column 788
Sarah McCarthy-Fry: The Office of Fair Trading is still considering that judgment in detail, and on 22 December it intends to make an announcement about what further action will be taken. Our position is very clear: we want to see a fairer and more transparent system of charges, and we are working very closely with the OFT to achieve that.

[davidl]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

"The oft was still assecing the abbey judgement"

whats the abbey judgement please?

[Amethyst]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

The Supreme Court Judgment is known as OFT v Abbey & Ors. But it is simply the bank charges test case judgment that we have all come to know, and love :rudolph:, so well.

[Amethyst]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

Also

Labour MP Jim Devine called for a cap on interest rates for storecards.
Responding, Exchequer Secretary Sarah McCarthy-Fry agreed there was a problem with the high interest rates charged by some lenders. However, she reported that where limits had been brought in lenders had got round them by introducing others charges. She insisted that the Government was keeping the matter under review.

was a bit of a finance session yesterday lol.

[Budgie]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

Hmmm,

I am not sure which way to read this.

The OFT suggested at our meeting that whichever way their decision went it would be market sensitive so the timing of the announcement would therefore be unpublicised with maybe just an hour or so's notifitication before a decision was to be announced and that the hours notification would be after the 'markets' had closed for the day.

The London Stock exchange's opening hours are normally from 8AM to 4.30PM and they are open on 22nd, 23rd and until 12.30 on Xmas Eve.

[Budgie]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

Sarah McCarthy-Fry MP


Sarah McCarthy-Fry was appointed Exchequer Secretary to the Treasury on 17 June 2009.
Prior to this appointment Sarah was Parliamentary Under Secretary at the Department for Communities and Local Government and before that Parliamentary Under Secretary for Schools and Learners at the Department of Children, Schools and Families, having previously served as PPS to Geoff Hoon, Chief Whip, and as PPS to John Healey, Financial Secretary to the Treasury.
She has been the Member of Parliament for Portsmouth North since May 2005.

[Budgie]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry


Alistair Carmichael

Liberal Democrat MP for Orkney & Shetland

• Shadow Secretary of State for Scotland and Northern Ireland (since 8 Jan 2009)

[Amethyst]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

They could be announcing they havent made a decision yet I guess.

Or SM could be talking out her bottom.

Check with KF ?

[davidl]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McCarthy-Fry

I can see them saying they havent made a decision yet amy as with the costs involved i think they would not want to jump strait into another costly leagle battle.
I have a sneaky feeling aswell the oft wont continue with there case and that they will pass it over to somone else to investiagte the charges under different criteria.

[Budgie]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McCarthy-Fry

OK,

I just spoke with the OFT.

Sarah McCarthy's comment yesterday was an un-briefed comment.

The OFT stand by their statement made to us at the meeting last week.

No decision has yet been made and they are not able to say when they will be in a position to make that decision or when it will be announced.

Because of the market sensisitive nature of both decision and it's announcement it is likely that they will only be able to give approx 1 hours notification of an announcement and that notification will take place after the financial markets have ceased trading for that particular day.

Budgie

[ROBSTER]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

Hmmm,

I am not sure which way to read this.

The OFT suggested at our meeting that whichever way their decision went it would be market sensitive so the timing of the announcement would therefore be unpublicised with maybe just an hour or so's notifitication before a decision was to be announced and that the hours notification would be after the 'markets' had closed for the day.

The London Stock exchange's opening hours are normally from 8AM to 4.30PM and they are open on 22nd, 23rd and until 12.30 on Xmas Eve.

IMHO I cant see it being that market sensitive £20 billion one way or the other is a drop in the ocean compared to the Banks profits as a whole, it would hardly pay the bonus for the management taken as a whole. And I'm sure there will be some clever tax advice on the "write off" if it comes to it.

oops sorry budgie our threads crossed...still cant see that much "market sensitivity" unless they've got some stinking news for the banks on cci for example. Fingers crossed !

[Budgie]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McArthy-Fry

IMHO I cant see it being that market sensitive £20 billion one way or the other is a drop in the ocean compared to the Banks profits as a whole, it would hardly pay the bonus for the management taken as a whole. And I'm sure there will be some clever tax advice on the "write off" if it comes to it.

oops sorry budgie our threads crossed...still cant see that much "market sensitivity" unless they've got some stinking news for the banks on cci for example. Fingers crossed !

The OFT are aware that their eventual announcement, whichever way it goes, could significantly affect the share trading of a particular bank or banks depending on the manner in which it is released and the content of the release. It's standard practice for such announcements to be made on very short notice and whilst the Stock market is closed.
That's why I was suspicious of the Sarah McCarthy comment and the OFT confirmed that is was an un-briefed comment, so basically please just ignore it.

[davidl]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McCarthy-Fry

Robster i agree i am intrigued now......
by the way what is "cci" ?

[Budgie]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McCarthy-Fry

Thanks Michael for posting up the news and correction on CAG.

[Amethyst]

Re: OFT to make announcement DECEMBER 22nd - says Sarah McCarthy-Fry

oooo dear naughty Sarah lol

Well done Bud xxx