TAILORED BUSINESS LOANS AND EMBEDDED SWAPS

Early day motion 874, tabled 11 December 2013 by Viscount Thurso (Liberal Democrat). Signed by 87 members.

That this House notes that small and medium-sized businesses across the country struggled during the financial crisis; further notes that potentially tens of thousands of businesses may have been sold inappropriate complex financial products including fixed rate swaps and embedded swaps; is concerned that while fixed rate swaps purchased as an independent product are included in the current Financial Conduct Authority (FCA) review scheme, swaps embedded in businesses loans are not; further notes that many of these embedded swaps were sold without proper explanation of either the conditions or costs; understands these products are not regulated by the FCA; and therefore calls on the Government to ensure there is proper regulation in the future and that there is a review and access to redress for those affected in the past.

Signatures by party: Labour 51, Liberal Democrat 17, Conservative 7, Plaid Cymru 3, Scottish National Party 3, Social Democratic and Labour Party 2, Alliance 1, DUP 1, Independent 1, Respect 1.