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3 Mar 2008 03:27 PM
Unfair selling rules laid in Parliament

DEPARTMENT FOR BUSINESS, ENTERPRISE AND REGULATORY REFORM News Release (2008/048) issued by The Government News Network on 3 March 2008

The Government has today laid draft regulations in Parliament for a new law that will protect consumers from aggressive and other unfair sales practices.

Consumer Affairs Minister Gareth Thomas confirmed that if approved in debate the Consumer Protection Regulations (CPRs) will come into force on 26 May 2008.

Gareth Thomas said:

"This law is good news for consumers, honest businesses and Trading Standards and the OFT, which will enforce it.

"It delivers better protections for consumers, cuts red tape and puts in place a simpler and clearer consumer law that will be easier to interpret and enforce.

"The final timetable takes into account the views of business and gives everyone suitable time to prepare."

The CPRs will ban 31 types of unfair sales practices outright including, bogus closing down sales, prize draw scams, and aggressive doorstep selling. They will also for the first time establish a catch-all duty not to trade unfairly, closing loopholes that rogue traders have previously been able to exploit.

The regulations benefit honest businesses by simplifying consumer protection legislation and driving out the rogues. They replace and improve on provisions in 23 pieces of existing legislation - establishing a modern framework fit for the 21st Century that is easy for consumers, businesses and enforcers to understand.

The final implementation timetable of 26 May 2008 has been decided following consultation with business who asked for more time to prepare for the new rules.

Notes to Editors:

1. The Consumer Protection from Unfair Trading Regulations implements the European Commission's Unfair Commercial Practices Directive (UCPD). The UCPD will establish consistency of trading across the EU, making it easer to market goods and services to an internal market of 460 million consumers.

2. The EC Unfair Commercial Practices Directive (UCPD) was adopted on 11 May 2005.

3. Most provisions of the regulations will be enforceable by both criminal and civil sanctions. A wide range of sanctions will be available, depending on the seriousness of the offence, from guidance and codes of conduct to unlimited fines and lengthy prison sentences.

4. The Department for Business Enterprise and Regulatory Reform helps UK business succeed in an increasingly competitive world. It promotes business growth and a strong enterprise economy, leads the better regulation agenda and champions free and fair markets. It is the shareholder in a number of Government-owned assets and it works to secure, clean and competitively priced energy supplies