New clause 1 - OFT'S GENERAL DUTIES
Consumer Credit Bill
5:45 pm
'After section 1 of the 1974 Act insert—
''1A OFT's General Duties
(1) In discharging its functions under this Act to regulate the conduct of licensees, the OFT must, so far as is reasonably possible, act in a way—
(a) which is compatible with the regulatory objectives, as set out in subsection (2); and
(b) which the OFT considers most appropriate for the purpose of meeting those objectives.
(2) The regulatory objectives are—
(a) lender confidence, to ensure the widest possible access to credit;
(b) the protection of consumers; and
(c) the national interest in having an efficient and innovative consumer credit sector.
(3) In discharging its functions to issue guidance and regulate the conduct of licensees, the OFT shall have regard to—
(a) the principle that a burden or restriction which is imposed on a person, or on the carrying on of an activity, should be proportionate to the benefits, considered in general terms, which are expected to result from the imposition of that burden or restriction;
(b) the desirability of facilitating innovation in connection with regulated activities;
(c) the desirability of maintaining a competitive market in consumer credit in the United Kingdom; and
(d) the need to minimise the adverse effects on competition that may arise from anything done in the discharge of its functions.''.'.
—[Charles Hendry.]
Brought up, and read the First time.