Industry News

Research from Experian has revealed that manufacturing areas like the North East and Midlands are least prepared to cope with further public sector cuts. It is thought that these traditional manufacturing heartlands will be hardest hit as not only will what’s left of manufacturing in those areas be severely impacted by the recession but public sector roles have taken much of the slack created by disappearing manufacturing jobs over the last thirsty years.

The Advertising Standards Authority from March 2011 has the power censure misleading online advertising and social media statements in addition to its current offline remit. This comes as a result of increased pressure to monitor the growing online market space, with over half of the authorities complaints last year falling outside of their sphere of influence.

The Institute for Fiscal Studies has reiterated that the coalition budget, announced in June, will adversely affect the poorest members of society disproportionately. This is contrary to the Chancellor’s claim that wealthier families are more likely to be affected.

Planned new powers to be devolved to the Bank of England will help avert any future financial or debt crisis according to Charles Bean, Deputy Governor of the Bank of England.

The Ministry of Justice has announced its claims management regulation unit has closed its two-hundredth charlatan claims company since its launch in 2007. The announcement comes as the unit underlined their determination to eradicate misleading, aggressive and in some cases fraudulent marketing.

A recent study revealed that council bosses in Scotland are feeling the pressure of public sector cutbacks by claiming 22,000 council workers may lose their jobs. Among the services expected to suffer most are transport and environmental services with 46% of senior managers declaring these areas will endure the most cutbacks.

The Committee of Advertising Practice recently revealed new rules to safeguard consumers against claims of ‘free debt management’ where monthly administration fees are charged. Unavoidable costs such as delivery and response expenses are exempt from the claim, however, any organisation charging an administration fee to manage a debt will not in future be able to claim the plan is free.

Recent figures published by the Bank of England reveal credit card lenders have written off £2.1bn in the second quarter of 2010, a 62% increase on the first quarter figure of £1.3bn. The yearly figure is expected to exceed the total amount of credit card debt written off last year of £4.1bn.

Citizens Advice Bureau has recently published figures indicating those seeking debt advice on priority debts such as council tax have significantly increased. The figures show enquiries about water supply debts are up 18% on last year in addition council tax and telephone debt enquiries both increased 7% on last year’s results.

Unbiased.co.uk has revealed that consumers are changing their attitude to borrowing and saving in response to the final pressures of the recession. The report revealed that in the second quarter of 2010 consumers paid off 7 pence of debt for every pound saved, which was in contrast with the first quarter of 2009 where consumers borrowed 66 pence borrowed for every pound saved.