To ask the Chancellor of the Exchequer what steps his Department is taking following the collapse of the Crown Currency Exchange to prevent similar collapses.

To ask the Chancellor of the Exchequer what steps his Department is taking following the collapse of the Crown Currency Exchange to prevent similar collapses.

To ask the Chancellor of the Exchequer what discussions he has had with representatives of (a) the Financial Services Authority and (b) Barclays Bank on the (i) regulation and (ii) collapse of Crown Currency Exchange.

To ask the Chancellor of the Exchequer what discussions he has had with representatives of (a) the Financial Services Authority and (b) Barclays Bank on the (i) regulation and (ii) collapse of Crown Currency Exchange.

Adjournment debate on Crown Currency Exchange.

Adjournment debate on Crown Currency Exchange.

I thank the Minister for giving way. Given the scale of the issue with 13,000 people having been affected, will the Minister tell us more about the role of Barclays bank?

I thank the Minister for giving way. Given the scale of the issue with 13,000 people having been affected, will the Minister tell us more about the role of Barclays bank?

The hon. Lady makes an important point, but the reality is that this activity falls outside the regulatory perimeter of the FSA. The reason these businesses are registered with the FSA is that when the payments services directive was introduced, there had to be somewhere for these businesses to be...

The hon. Lady makes an important point, but the reality is that this activity falls outside the regulatory perimeter of the FSA. The reason these businesses are registered with the FSA is that when the payments services directive was introduced, there had to be somewhere for these businesses to be...

I could ask the Minister when he believes that my constituents will receive money and how much, but I want to come back to the fact that the company was classed as a small payments institution, despite its turnover putting it in a category that meant it should have been...

I could ask the Minister when he believes that my constituents will receive money and how much, but I want to come back to the fact that the company was classed as a small payments institution, despite its turnover putting it in a category that meant it should have been...

Barclays had a limited relationship with Crown. It did not lend money to Crown, but simply provided it with a bank account. It raised a number of questions with Crown, but the answers gave no cause for concern. It acted simply as Crown's bank and had no engagement in the...

Barclays had a limited relationship with Crown. It did not lend money to Crown, but simply provided it with a bank account. It raised a number of questions with Crown, but the answers gave no cause for concern. It acted simply as Crown's bank and had no engagement in the...

A number of my constituents have also lost money in this case. I recognise the limited remit of the FSA, but should it have registered CCE when, as I understand it, one of CCE's directors had a criminal conviction? Was that an example of maladministration, or will that be reviewed?

A number of my constituents have also lost money in this case. I recognise the limited remit of the FSA, but should it have registered CCE when, as I understand it, one of CCE's directors had a criminal conviction? Was that an example of maladministration, or will that be reviewed?

Often in these cases—I do not want to go into detail on this—the FSA is dependent on disclosure by directors. As the hon. Lady said, the FSA does not have the power to access criminal records to enable it to find out whether directors' disclosures are accurate. The question that...

Often in these cases—I do not want to go into detail on this—the FSA is dependent on disclosure by directors. As the hon. Lady said, the FSA does not have the power to access criminal records to enable it to find out whether directors' disclosures are accurate. The question that...

It is not a matter for the ombudsman—it is for the administrator to decide what further actions are needed. As I said, the problem is that the nature of this business was such that it fell outside the regulatory perimeters. It is not covered by the Financial Ombudsman Service or...

It is not a matter for the ombudsman—it is for the administrator to decide what further actions are needed. As I said, the problem is that the nature of this business was such that it fell outside the regulatory perimeters. It is not covered by the Financial Ombudsman Service or...

Will the Minister give way?

Will the Minister give way?

Let me continue for a bit longer. I recognise that there are innocent victims at the heart of this, but because Crown's activities are not regulated by the FSA, its customers are not covered by the financial services compensation scheme. Crown did not accept credit card or debit card payments,...

Let me continue for a bit longer. I recognise that there are innocent victims at the heart of this, but because Crown's activities are not regulated by the FSA, its customers are not covered by the financial services compensation scheme. Crown did not accept credit card or debit card payments,...

I should like to make some progress, as there are important points that I want to make by the time I finish in seven minutes' time. I want to reassure hon. Members that I am anxious to protect customers and that we should learn lessons from this. I would point...

I should like to make some progress, as there are important points that I want to make by the time I finish in seven minutes' time. I want to reassure hon. Members that I am anxious to protect customers and that we should learn lessons from this. I would point...

Will the Minister give way?

Will the Minister give way?

No, I am going to continue. The regulation of these businesses, including capital requirements, would impose costs on them and on their customers, so we must be sure that the benefits of regulation outweigh the cost to consumers. I assure hon. Members that we are looking at the other companies...

No, I am going to continue. The regulation of these businesses, including capital requirements, would impose costs on them and on their customers, so we must be sure that the benefits of regulation outweigh the cost to consumers. I assure hon. Members that we are looking at the other companies...

What message can the hon. Lady give to my constituents, and many others across the country who have lost large sums of money, about what hope they might have of compensation?

What message can the hon. Lady give to my constituents, and many others across the country who have lost large sums of money, about what hope they might have of compensation?

I am an optimist, so I hope that we might be able to do something, but it would appear that the directors of the company have operated through a loophole in the scheme. I suspect that they were very savvy and knew exactly what they were doing. They have registered...

I am an optimist, so I hope that we might be able to do something, but it would appear that the directors of the company have operated through a loophole in the scheme. I suspect that they were very savvy and knew exactly what they were doing. They have registered...

Absolutely. I hope that that will be part of the outcome. I ask the Minister in particular whether he would agree to meet members of the group Action against Crown Currency Exchange, me and other Members whose constituents have an interest, so that we can explore what might be done....

Absolutely. I hope that that will be part of the outcome. I ask the Minister in particular whether he would agree to meet members of the group Action against Crown Currency Exchange, me and other Members whose constituents have an interest, so that we can explore what might be done....

I congratulate the hon. Member for Wells (Tessa Munt) on securing a debate on this important topic. The fact that there are 40 Members here tonight demonstrates the widespread interest across the House in what has happened to Crown Currency Exchange. I am glad to have the opportunity to explore...

I congratulate the hon. Member for Wells (Tessa Munt) on securing a debate on this important topic. The fact that there are 40 Members here tonight demonstrates the widespread interest across the House in what has happened to Crown Currency Exchange. I am glad to have the opportunity to explore...

I congratulate the hon. Lady on securing this debate. I have had a response from the FSA. It says:"““In our judgement it would not be possible for the FSA to ban firms such as CCE from describing themselves as ““registered for payment services””. Any amendment to the register requirements in...

I congratulate the hon. Lady on securing this debate. I have had a response from the FSA. It says:"““In our judgement it would not be possible for the FSA to ban firms such as CCE from describing themselves as ““registered for payment services””. Any amendment to the register requirements in...