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Gordon Brown to tackle credit card providers

By Chris Marshall | 10:17:25 | 11 November 2008

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Credit cards look likely to be the next battleground in the government's fight against growing consumer debt as prime minister Gordon Brown announced he wanted a new set of principles for providers to comply with.

At his monthly Downing Street press conference, the PM said his first priority was to protect mortgage holders and small businesses. He called again for banks to resume lending to consumers and said that a number of new measures would be announced on Tuesday afternoon, including introducing new principles of business for credit card providers.

Brown renewed his call for global co-ordination to introduce fiscal stimulus measures, but would not be drawn on what possible tax cuts will be made in the UK.

Brown said that action on an international scale was needed first, with a global trade deal and a rejection of protectionism.

It is thought the pre-Budget report could be published within days, outlining the fiscal stimulus the PM has so far been reluctant to confirm.

While the PM re-iterated the need for global co-ordination in fiscal and monetary measures, he refused to be drawn on whether he was prepared to make unfunded tax cuts.

On Monday night Brown had given a key speech in which he hinted at tax cuts by highlighting the boost they would give to consumer spending.

Brown also attacked Conservative proposals for the economy. Speaking minutes before the PM, Tory leader David Cameron proposed giving tax cuts to employers who hire new workers in order to stimulate the economy and create new jobs.  

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Comments (2)

Jeff - Chinese printing service

13:04 | 11 Nov 2008

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Edward PRINGLE - Brown's new principles for credit card providers

13:40 | 11 Nov 2008

It's taken the credit crunch to see this.

I'm no financial wizard but it's been obvious, for at least 15 years, that these pretty little cards would cause havoc in personal lives and the national economy.

Plain old 'Access' & 'Barclaycard' were enough. How many were there in 2008 ? What was the average credit allowed by the providers?

And the last thing these providers want is for the credit card owner to manage the debt sensibly.

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