The next Labour government will tackle the persistent debt spiral that many working families in Colne Valley have become trapped in by introducing a cap on interest payments.
Seven years of Tory economic failure has seen the slowest wage growth since Napoleonic times, which has led to a looming debt crisis at every level of our country.
The average amount of credit card debt outstanding for accounts in persistent debt is £3,464 and the total amount outstanding on these accounts is therefore in the region of £14 billion.
Credit card debt is therefore becoming a growing problem and threat to the people of Colne Valley Constituency.
John McDonnell MP, Labour’s Shadow Chancellor, said: “The last seven years of Tory economic failure has created the perfect storm, as wages have fallen behind, more and more families are being pushed deeper into debt. I am calling upon the Government to act now apply the same rules on payday loans to credit card debt. It means that no-one will ever pay more in interest than their original loan. If the Tories refuse to act, I can announce today that the next Labour government will amend the law.”
Thelma Walker MP said: “Many people in the Colne Valley Constituency are struggling with unaffordable levels of debt through no fault of their own.
The last seven years of Tory economic failure – including wage stagnation – has meant more and more families are being pushed deeper into debt.
At the same time, some companies are making massive profits from people’s financial difficulties.
The next Labour government will tackle the persistent debt spiral that many working families in the Colne Valley Constituency have become trapped in.”