Government’s ‘Breathing Space’ scheme announcement - Jonathan Reynolds responds

Jonathan Reynolds MP, Shadow Economic Secretary to the Treasury, responding to the government’s ‘Breathing Space’ scheme announcement, said:

“A “Breathing Space” scheme has been Labour policy since 2017. But we have significant concerns that this government plan will divert funding away from crucial debt advice services.

“The Tories and Lib Dems are responsible for spiralling personal debt in this country. Nine years of austerity have made life harder for struggling families forced to turn to debt to meet their living costs.

“A Labour Government would rebuild public services, scrap tuition fees, and ensure people never have to pay back more than twice their credit card borrowings to end the scourge of an indebted society.”

Ends

Notes to Editors

• ·       See the Shadow Chancellor’s 2017 Labour Party conference speech announcing that in Government Labour would align the rules on payday loans and credit card debt: https://labour.org.uk/press/shadow-chancellor-john-mcdonnell-speech-to-labour/ 
• ·       For information about Labour Party’s overdraft charges policy: https://labour.org.uk/press/labour-will-end-low-paid-debt-trap-scandal-3m-people-mcdonnell/