Item 27 on our agenda is a legislative consent motion on the Financial Services Bill, and again I call on the Deputy Minister and Chief Whip to move the motion, Jane Hutt. 

Motion NDM7650 Jane Hutt

To propose that the Senedd, in accordance with Standing Order 29.6 agrees that provisions in the Financial Services Bill in so far as they fall within the legislative competence of the Senedd, should be considered by the UK Parliament.

Motion moved.

Diolch, Dirprwy Lywydd. I move the motion that the Senedd agrees the UK Parliament should consider the provisions in clause 34 of the UK Government's Financial Services Bill. Clause 34 of the Bill makes provisions that relate to personal debt management, designed to help people in problem debt to repay what they owe to their creditors in a managed way. Consent is required because these provisions fall within the legislative competence of the Senedd. It is my opinion that the provisions should be made by the UK Parliament as this represents the most appropriate and proportionate legislative vehicle to enable the drafting of the regulations that will allow the statutory debt repayment plan to apply in Wales.

I'd like to thank the two Senedd committees who have scrutinised the memorandum. Both committees reported they were satisfied the Bill does make provision for a purpose within the competence of the Senedd, with the Economy, Infrastructure and Skills Committee concluding that there is no reason to object to the Senedd agreeing to a legislative consent motion.

The statutory debt repayment plan is the second part of the debt respite scheme, and I led the debate last November when the Senedd approved the regulations for the first part of the debt respite scheme, breathing space, to apply in Wales. Breathing space will give a person the time they need to get professional advice to identify their best pathway out of debt, and, when introduced, the statutory debt repayment plan will offer people a debt solution that will help them to repay what they owe to their creditors in a manageable time frame when they exit breathing space. For the duration of their statutory debt repayment plan, a person will receive legal protections from their creditors taking enforcement action or adding interest charges and fees to their debt. And given the length of time that a statutory debt repayment plan may last, it would be designed to be flexible so it can respond to the changing circumstances that people face during the period they're paying their debts off under the plan.

Officials will work closely with the UK Government policy makers to ensure the statutory debt repayment plan regulations align with the specific needs of people in Wales, and the regulations will be laid before the Senedd for approval. So, given the financial problems that we know people are facing because of COVID-19, those deepening inequalities, the vital role of our advice services, the single advice fund, which has been boosted this year, it is disappointing that the UK Government hasn't set a specific date to implement the statutory debt repayment scheme. So, in moving this motion, I am urging the UK Government to make the regulations in the coming months and implement the statutory debt repayment plan as soon as practical thereafter. Diolch.

Thank you. Can I call on the Chair of the Legislation, Justice and Constitution Committee, Mick Antoniw?

Thank you again, Dirprwy Lywydd. We considered the legislative consent memorandum on the Financial Services Bill in November last year, and our report was laid last December. Members will be aware that the Senedd consented to the Financial Guidance and Claims Act 2018 in February 2018, and it made provision for the creation of a debt respite scheme, consisting of two parts: breathing space and the statutory debt repayment plan. Our committee considered the first part of the scheme—that is the Debt Respite Scheme (Breathing Space Moratorium and Mental Health Crisis Moratorium) (England and Wales) Regulations 2020—last November. The Senedd subsequently approved these regulations on 10 November 2020.

The Financial Services Bill, as the Minister has outlined, makes provision in relation to the second part of the scheme, concerning the statutory debt repayment plan. In our report, we noted the Welsh and UK Government's assessments that clause 32 requires the Senedd’s consent and the Welsh Government’s explanation of why making provision for Wales in the Bill is appropriate. We also noted that any future regulations made by UK Ministers, to the extent that they will provide for the statutory debt repayment plan to apply in relation to Wales, will need to be laid before and approved by a resolution of the Senedd in order for them to apply in Wales. Diolch, Dirprwy Lywydd.

Thank you. I have no Members who have requested to speak or make interventions. Therefore, I will ask the Deputy Minister and Chief Whip to reply briefly to the debate.

Just briefly to say that I welcome the comments and the consideration by the Chair of the Legislation, Justice and Constitution Committee, and, once again, say that it is vital that Members support the motion that the Senedd agrees the UK Parliament should consider the provisions in clause 34 of the Financial Services Bill, in order that we can support our citizens, as COVID-19 has put household finances across Wales under such enormous strain, and we can move forward in this way by supporting this motion today to support our people in Wales in this situation. Diolch.

Thank you. The proposal is to agree the motion. Does any Member object? No, I don't see objections. Therefore, in accordance with Standing Order 12.36, the motion is agreed.

Motion agreed in accordance with Standing Order 12.36.