I was delighted to see Liverpool City Council cracking down on illegal loan sharks who are causing misery and distress to many residents, families, and businesses facing financial difficulties.
These organised criminals prey on the most vulnerable, and are often threatening violence and intimidation, charging interest rates that can be anything up to a shocking 117,000%.
The Labour Council has extended a project that works with the police and other authorities to target these rogue lenders and ensure that more is done to identify, arrest and prosecute those who are engaging in such illegal activity.
The operation uses specialist, trained experts, and I am pleased to see Liverpool working with neighbouring councils across the country to deal with this problem.
These criminals do not respect geography or constituency boundaries, any more than they respect the decent values of the communities they operate in. It is therefore right that we work across constituency and county boundaries to take them on.
However, there is more to tackling the illegal money lending trade than simply bringing those who run it to justice. We need to do all we can to prevent those in financial trouble turning to loan sharks in the first place, or even legal money lenders who charge exorbitant interest.
Credit unions offer a safe, legal, and cheap way to save and borrow money, and we should seek to advertise and promote this model of financial management whenever possible.
I am proud to be a Co-operative MP working to encourage and support Credit Unions and other mutual organisations, who have a key role to play in helping families manage their money in tough times. I hold one of my four my constituency surgeries in Lodge Lane and District Credit Union – just one of many doing a great job for savers, borrowers, and communities here in Liverpool Wavertree.
If you want to know more about credit unions, Co-ops, or just want to know where to turn for some advice locally on financial issues please let me know.
I will continue to raise this issue in parliament, and I look forward to the council and our communities fighting back against those who cause such fear, harm, and misery to those in need.
The link to the Council report is here http://councillors.liverpool.gov.uk/mgConvert2PDF.aspx?ID=90853
