The Commission is today issuing a discussion paper seeking feedback on a number of regulatory proposals for firms involved in lending, credit and finance. Please click here for a copy.
The Bailiwick does not currently have consumer lending and credit regulation. The Commission is concerned that this may lead to consumers being at risk of not being treated appropriately and a lack of certainty with regard to the regulatory environment for innovative lending firms. The proposals contained within the discussion paper seek to promote growth and expansion of the Bailiwick economy whilst protecting the interests of the consumer.
The former Commerce and Employment Board recognised a need for the regulation of consumer credit and sought the Commission’s support to progress development of consumer credit legislation. The demand for regulation in this area was endorsed in 2015 when PwC published “The States of Guernsey’s Strategic Vision for FinTech.” This report included a recommendation to support the Commission in revising the Non-Regulated Financial Services Business (Bailiwick of Guernsey) Law and introducing regulation for commercial lending.
Fiduciary Supervision Policy & Innovations Director, Gillian Browning said:
“This discussion paper is an invitation to lending, credit and finance customers, firms and interested parties to continue working in conjunction with the Commission to build a regulatory regime which is user friendly, which protects consumers, enhances the economy and meets relevant international standards.”
Discussion Paper Online Survey
As part of the discussion paper process, the Commission is using a web based system known as “Citizen Space”, previously used for the Commission’s Revision of Laws consultation paper.
Responses to the discussion paper are sought by Monday 24 October 2016.