Speeches

Gregory Campbell – 2016 Parliamentary Question to the Department for Business, Innovation and Skills

The below Parliamentary question was asked by Gregory Campbell on 2016-06-07.

To ask the Secretary of State for Business, Innovation and Skills, what steps he is taking to (a) improve the transparency of car hire firms and (b) ensure people hiring cars are not incorrectly charged for damage to such cars.

Nick Boles

There is already consumer protection legislation in place that protects consumers when dealing with traders, including car hire firms. The Consumer Protection from Unfair Trading Regulations 2008 (CPRs) prohibit traders from engaging in unfair commercial practices, such as providing false or deceptive information or descriptions to consumers or leaving out material information.

Local authority trading standards services and the Competition and Markets Authority enforce the CPRs, and breaches of the legislation can be reported to the Citizens Advice consumer helpline on 03454 04 05 06 in the first instance.

In addition, the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 (CCRs) require traders entering into distance and online contracts to provide consumers with a range of pre-purchase information in a clear and comprehensive manner, including any additional costs and how they will be calculated.

Finally, the Consumer Rights Act 2015 (CRA) provides a wide range of protections for consumers, including restricting the use of unfair terms in consumer contracts. Under the CRA, an ‘unfair term’ is defined as one which, contrary to the requirements of good faith, causes a significant imbalance in the parties’ rights and obligations under the contract to the detriment of the consumer. If a court decides a term is unfair, it will not be binding on the consumer.

A term, such as the price and the main subject matter, may be exempted from the assessment of fairness if it is transparent and prominent (expressed in plain and intelligible language and legible) and brought to the consumer’s attention in such a way as the average consumer would be aware of it.

The consumer protection legislation referred to implements EU legislation which applies in all other member states.