In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA). This means that by 29 July 2022 all funeral plan providers must be authorised by the FCA.<\/p>
<\/p>
Safe Hands Plans has recently gone into administration. I am aware that the current situation will be distressing for customers of Safe Hands and can assure you that the Treasury continues to monitor the implementation of regulation in this sector closely.<\/p>
<\/p>
While the FCA does not yet regulate funeral plan providers, it is currently supporting the industry and administrators to see if a longer-term solution is possible for Safe Hands\u2019 customers.<\/p>
<\/p>
It is regrettable that bringing a previously unregulated sector into regulation \u2013 whatever form that may take \u2013 creates a possibility that some providers are not able to meet the threshold for authorisation. However, a well-regulated market should promote effective competition and drive better outcomes for consumers in the long-term.<\/p>
<\/p>
Where a provider is unable to obtain FCA authorisation because of underlying issues, it is important to understand that this is not an issue created by bringing the sector into regulation. Rather, bringing the sector into regulation exposes these unsustainable business models and prevents these problems from getting worse and impacting more consumers.<\/p>
<\/p>
The Government\u2019s legislation has allowed for an 18-month transition period before the new regulatory regime comes fully into force on 29 July 2022. This transition period was intended to give existing providers sufficient time to prepare for the new regulatory requirements. The FCA\u2019s guidance is clear that providers who are not seeking or not able to obtain authorisation should either transfer their existing plans to a provider which is seeking authorisation, or wind down in an orderly way before regulation starts.<\/p>
<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-04-26", "_datatype" : "dateTime"} , "groupedQuestionUIN" : [{"_value" : "153771"} , {"_value" : "153772"} , {"_value" : "154138"} ], "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-04-26T13:47:31.533Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-04-14", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, whether his Department plans to introduce new regulations for funeral plan providers, in response to Safe Hands Plans entering administration in March 2022.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/1438", "label" : {"_value" : "Biography information for Lord Beamish"} } , "tablingMemberConstituency" : {"_value" : "North Durham"} , "tablingMemberPrinted" : [{"_value" : "Mr Kevan Jones"} ], "uin" : "153773"} , {"_about" : "http://data.parliament.uk/resources/1457734", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1457734/answer", "answerText" : {"_value" : "
In January 2021, the government legislated to bring all pre-paid funeral plan providers and intermediaries within the regulatory remit of the Financial Conduct Authority (FCA). This means that by 29 July 2022 all funeral plan providers must be authorised by the FCA.<\/p>
<\/p>
Safe Hands Plans has recently gone into administration. I am aware that the current situation will be distressing for customers of Safe Hands and can assure you that the Treasury continues to monitor the implementation of regulation in this sector closely.<\/p>
<\/p>
While the FCA does not yet regulate funeral plan providers, it is currently supporting the industry and administrators to see if a longer-term solution is possible for Safe Hands\u2019 customers.<\/p>
<\/p>
It is regrettable that bringing a previously unregulated sector into regulation \u2013 whatever form that may take \u2013 creates a possibility that some providers are not able to meet the threshold for authorisation. However, a well-regulated market should promote effective competition and drive better outcomes for consumers in the long-term.<\/p>
<\/p>
Where a provider is unable to obtain FCA authorisation because of underlying issues, it is important to understand that this is not an issue created by bringing the sector into regulation. Rather, bringing the sector into regulation exposes these unsustainable business models and prevents these problems from getting worse and impacting more consumers.<\/p>
<\/p>
The Government\u2019s legislation has allowed for an 18-month transition period before the new regulatory regime comes fully into force on 29 July 2022. This transition period was intended to give existing providers sufficient time to prepare for the new regulatory requirements. The FCA\u2019s guidance is clear that providers who are not seeking or not able to obtain authorisation should either transfer their existing plans to a provider which is seeking authorisation, or wind down in an orderly way before regulation starts.<\/p>
<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-04-26", "_datatype" : "dateTime"} , "groupedQuestionUIN" : [{"_value" : "153771"} , {"_value" : "153772"} , {"_value" : "153773"} ], "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-04-26T13:47:31.707Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-04-14", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what assessment his Department has made of the potential merits of giving protection to funeral plan policy holders who have bought funeral plans from firms who might enter into administration before the change to the regulatory regime on 29 July 2022.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4467", "label" : {"_value" : "Biography information for Drew Hendry"} } , "tablingMemberConstituency" : {"_value" : "Inverness, Nairn, Badenoch and Strathspey"} , "tablingMemberPrinted" : [{"_value" : "Drew Hendry"} ], "uin" : "154138"} , {"_about" : "http://data.parliament.uk/resources/1454825", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1454825/answer", "answerText" : {"_value" : "
Safe Hands Funeral Plans has recently gone into administration. I am aware that the current situation will be distressing for customers of Safe Hands and can assure you that the Treasury continues to monitor the implementation of regulation in this sector closely.<\/p>
<\/p>
I welcome the commitment from Dignity to provide funerals to Safe Hands\u2019 customers for two weeks.<\/p>
<\/p>
It is a regrettable fact that bringing a previously unregulated sector into regulation \u2013 whatever form that may take \u2013 creates a possibility that some providers are not able to meet the threshold for authorisation.<\/p>
<\/p>
Where a provider is unable to obtain FCA authorisation because of underlying issues, it is important to understand that this is not an issue created by bringing the sector into regulation. Rather, bringing the sector into regulation exposes these unsustainable business models and prevents these problems from getting worse and impacting more consumers.<\/p>
<\/p>
The FCA\u2019s guidance is clear that providers who are not seeking or not able to obtain authorisation should either transfer their existing plans to a provider which is seeking authorisation, or wind down in an orderly way before regulation starts.<\/p>
<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-04-04", "_datatype" : "dateTime"} , "groupedQuestionUIN" : {"_value" : "148265"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-04-04T13:34:17.49Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-03-28", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what steps he is taking to safeguard the customers of (a) Safe Hands and (b) other prepaid funeral providers that may not abide by FCA regulations.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4469", "label" : {"_value" : "Biography information for Angela Crawley"} } , "tablingMemberConstituency" : {"_value" : "Lanark and Hamilton East"} , "tablingMemberPrinted" : [{"_value" : "Angela Crawley"} ], "uin" : "148263"} , {"_about" : "http://data.parliament.uk/resources/1454827", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1454827/answer", "answerText" : {"_value" : "
Safe Hands Funeral Plans has recently gone into administration. I am aware that the current situation will be distressing for customers of Safe Hands and can assure you that the Treasury continues to monitor the implementation of regulation in this sector closely.<\/p>
<\/p>
I welcome the commitment from Dignity to provide funerals to Safe Hands\u2019 customers for two weeks.<\/p>
<\/p>
It is a regrettable fact that bringing a previously unregulated sector into regulation \u2013 whatever form that may take \u2013 creates a possibility that some providers are not able to meet the threshold for authorisation.<\/p>
<\/p>
Where a provider is unable to obtain FCA authorisation because of underlying issues, it is important to understand that this is not an issue created by bringing the sector into regulation. Rather, bringing the sector into regulation exposes these unsustainable business models and prevents these problems from getting worse and impacting more consumers.<\/p>
<\/p>
The FCA\u2019s guidance is clear that providers who are not seeking or not able to obtain authorisation should either transfer their existing plans to a provider which is seeking authorisation, or wind down in an orderly way before regulation starts.<\/p>
<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2022-04-04", "_datatype" : "dateTime"} , "groupedQuestionUIN" : {"_value" : "148263"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2022-04-04T13:34:17.573Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2022-03-28", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what steps he is taking in preparation for the upcoming Financial Conduct Authority regulations for prepaid funeral plans to help ensure that people who have purchased plans from suppliers that do not apply for, or fail to receive, FCA approval will receive an equal plan from another provider or get a refund.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4469", "label" : {"_value" : "Biography information for Angela Crawley"} } , "tablingMemberConstituency" : {"_value" : "Lanark and Hamilton East"} , "tablingMemberPrinted" : [{"_value" : "Angela Crawley"} ], "uin" : "148265"} , {"_about" : "http://data.parliament.uk/resources/1341249", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1341249/answer", "answerText" : {"_value" : "
Following consultation with industry the Government concluded that the majority of providers operating in the pre-paid funeral plan market are well run with properly funded trusts.<\/p>
The Government also found that the reports of poor practices have largely been attributed to providers that had chosen not to register with the sector\u2019s voluntary regulatory body \u2013 the Funeral Planning Authority \u2013 thereby demonstrating that a voluntary system of regulation cannot be fully effective because providers can simply choose not to comply.<\/p>
It is a regrettable fact that bringing a previously unregulated sector into regulation creates a possibility that some providers are not able to meet the threshold for authorisation<\/p>
The Government therefore cannot rule out that in authorising these firms under the new regime, it is revealed that some funeral plan providers are unable to deliver on the promises they have made to their customers.<\/p>
However, the Government and the FCA are monitoring the situation very closely and, subject to the facts at the time, stand ready to take any appropriate action.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2021-07-01", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2021-07-01T14:02:04.187Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2021-06-28", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what steps his Department is taking in preparation for the upcoming Financial Conduct Authority (FCA) regulations of prepaid funeral plans to ensure that people who have purchased plans from suppliers that fail to receive FCA approval will receive an equal plan from another provider or get a refund.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/1538", "label" : {"_value" : "Biography information for Rosie Cooper"} } , "tablingMemberConstituency" : {"_value" : "West Lancashire"} , "tablingMemberPrinted" : [{"_value" : "Rosie Cooper"} ], "uin" : "23134"} , {"_about" : "http://data.parliament.uk/resources/1315571", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1315571/answer", "answerText" : {"_value" : "
I refer the Hon Member to the answer that I gave on 20 May to the Hon Member for South Holland and The Deepings to PQs UIN: 2183, 2184 and 2185.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2021-05-24", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2021-05-24T13:25:21.503Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2021-05-18", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, what steps he is taking to protect consumers that purchase pre-paid funeral plans.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4088", "label" : {"_value" : "Biography information for Stella Creasy"} } , "tablingMemberConstituency" : {"_value" : "Walthamstow"} , "tablingMemberPrinted" : [{"_value" : "Stella Creasy"} ], "uin" : "2961"} , {"_about" : "http://data.parliament.uk/resources/1315330", "AnsweringBody" : [{"_value" : "Treasury"} ], "answer" : {"_about" : "http://data.parliament.uk/resources/1315330/answer", "answerText" : {"_value" : "
Following comprehensive consultation and stakeholder engagement, in January 2021 secondary legislation was made to bring pre-paid funeral plan firms within the remit of the Financial Conduct Authority (FCA). This change will protect consumers by ensuring that, for the first time, all firms that sell and administer pre-paid funeral plans are subject to compulsory and robust regulation.<\/p>
<\/p>
The new regulatory framework will come fully into force in July 2022, following an 18-month transition period. The FCA\u2019s consultation on rules for the sector closed on 13 April 2021, and the Government will continue to work closely with the FCA to ensure that the implementation of the new regulatory framework goes well.<\/p>
<\/p>
The legislation allows intermediaries such as funeral directors to become \u201cappointed representatives\u201d of the funeral plan providers whose plans they sell or intermediate. The provider, known as the \u201cprincipal\u201d firm, would be responsible for ensuring their appointed representatives comply with the relevant rules for selling plans. This results in a proportionate approach, whereby smaller firms that operate as intermediaries will be required to follow the rules that protect consumers, without necessarily needing to undergo full FCA authorisation. To support these small firms during the transition period the FCA will reach out to the industry to explain their regulatory standards and expectations regarding the authorisation gateway.<\/p>
<\/p>
The FCA is examining feedback concerning competition and smaller plan providers, among other things, as part of its consideration of responses to its consultation. The FCA will consider this feedback in the context of its operational objectives - which include ensuring an appropriate degree of protection for consumers and promoting effective competition in consumers\u2019 interests - as part of its decisions on the regime.
The FCA\u2019s consultation proposed that funeral plans should be brought within the scope of the Financial Services Compensation Scheme. The Government is currently considering whether further legislation is required to ensure the Compensation Scheme would operate effectively for consumers, if it covered this sector.<\/p>"}
, "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"}
}
, "answeringMemberConstituency" : {"_value" : "Salisbury"}
, "answeringMemberPrinted" : {"_value" : "John Glen"}
, "dateOfAnswer" : {"_value" : "2021-05-20", "_datatype" : "dateTime"}
, "groupedQuestionUIN" : [{"_value" : "2184"}
, {"_value" : "2185"}
], "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"}
, "questionFirstAnswered" : [{"_value" : "2021-05-20T09:38:54.333Z", "_datatype" : "dateTime"}
]}
, "answeringDeptId" : {"_value" : "14"}
, "answeringDeptShortName" : {"_value" : "Treasury"}
, "answeringDeptSortName" : {"_value" : "Treasury"}
, "date" : {"_value" : "2021-05-17", "_datatype" : "dateTime"}
, "hansardHeading" : {"_value" : "Funerals: Pre-payment"}
, "houseId" : {"_value" : "1"}
, "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"}
}
], "questionText" : "To ask the Chancellor of the Exchequer, what assessment his Department has made of the potential effect of changes to the regulation of pre-paid funeral plans on smaller providers within that sector.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"}
, "tablingMember" : {"_about" : "http://data.parliament.uk/members/350", "label" : {"_value" : "Biography information for Sir John Hayes"}
}
, "tablingMemberConstituency" : {"_value" : "South Holland and The Deepings"}
, "tablingMemberPrinted" : [{"_value" : "Sir John Hayes"}
], "uin" : "2183"}
, {"_about" : "http://data.parliament.uk/resources/1315331", "AnsweringBody" : [{"_value" : "Treasury"}
], "answer" : {"_about" : "http://data.parliament.uk/resources/1315331/answer", "answerText" : {"_value" : "
Following comprehensive consultation and stakeholder engagement, in January 2021 secondary legislation was made to bring pre-paid funeral plan firms within the remit of the Financial Conduct Authority (FCA). This change will protect consumers by ensuring that, for the first time, all firms that sell and administer pre-paid funeral plans are subject to compulsory and robust regulation.<\/p>
<\/p>
The new regulatory framework will come fully into force in July 2022, following an 18-month transition period. The FCA\u2019s consultation on rules for the sector closed on 13 April 2021, and the Government will continue to work closely with the FCA to ensure that the implementation of the new regulatory framework goes well.<\/p>
<\/p>
The legislation allows intermediaries such as funeral directors to become \u201cappointed representatives\u201d of the funeral plan providers whose plans they sell or intermediate. The provider, known as the \u201cprincipal\u201d firm, would be responsible for ensuring their appointed representatives comply with the relevant rules for selling plans. This results in a proportionate approach, whereby smaller firms that operate as intermediaries will be required to follow the rules that protect consumers, without necessarily needing to undergo full FCA authorisation. To support these small firms during the transition period the FCA will reach out to the industry to explain their regulatory standards and expectations regarding the authorisation gateway.<\/p>
<\/p>
The FCA is examining feedback concerning competition and smaller plan providers, among other things, as part of its consideration of responses to its consultation. The FCA will consider this feedback in the context of its operational objectives - which include ensuring an appropriate degree of protection for consumers and promoting effective competition in consumers\u2019 interests - as part of its decisions on the regime.
The FCA\u2019s consultation proposed that funeral plans should be brought within the scope of the Financial Services Compensation Scheme. The Government is currently considering whether further legislation is required to ensure the Compensation Scheme would operate effectively for consumers, if it covered this sector.<\/p>"}
, "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"}
}
, "answeringMemberConstituency" : {"_value" : "Salisbury"}
, "answeringMemberPrinted" : {"_value" : "John Glen"}
, "dateOfAnswer" : {"_value" : "2021-05-20", "_datatype" : "dateTime"}
, "groupedQuestionUIN" : [{"_value" : "2183"}
, {"_value" : "2185"}
], "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"}
, "questionFirstAnswered" : [{"_value" : "2021-05-20T09:38:54.38Z", "_datatype" : "dateTime"}
]}
, "answeringDeptId" : {"_value" : "14"}
, "answeringDeptShortName" : {"_value" : "Treasury"}
, "answeringDeptSortName" : {"_value" : "Treasury"}
, "date" : {"_value" : "2021-05-17", "_datatype" : "dateTime"}
, "hansardHeading" : {"_value" : "Funerals: Pre-payment"}
, "houseId" : {"_value" : "1"}
, "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"}
}
], "questionText" : "To ask the Chancellor of the Exchequer, if his Department will work with the (a) Financial Conduct Authority and (b) death care sector on a solution for pre-paid funeral plans that takes account of (i) consumers and (ii) businesses.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"}
, "tablingMember" : {"_about" : "http://data.parliament.uk/members/350", "label" : {"_value" : "Biography information for Sir John Hayes"}
}
, "tablingMemberConstituency" : {"_value" : "South Holland and The Deepings"}
, "tablingMemberPrinted" : [{"_value" : "Sir John Hayes"}
], "uin" : "2184"}
, {"_about" : "http://data.parliament.uk/resources/1315333", "AnsweringBody" : [{"_value" : "Treasury"}
], "answer" : {"_about" : "http://data.parliament.uk/resources/1315333/answer", "answerText" : {"_value" : "
Following comprehensive consultation and stakeholder engagement, in January 2021 secondary legislation was made to bring pre-paid funeral plan firms within the remit of the Financial Conduct Authority (FCA). This change will protect consumers by ensuring that, for the first time, all firms that sell and administer pre-paid funeral plans are subject to compulsory and robust regulation.<\/p>
<\/p>
The new regulatory framework will come fully into force in July 2022, following an 18-month transition period. The FCA\u2019s consultation on rules for the sector closed on 13 April 2021, and the Government will continue to work closely with the FCA to ensure that the implementation of the new regulatory framework goes well.<\/p>
<\/p>
The legislation allows intermediaries such as funeral directors to become \u201cappointed representatives\u201d of the funeral plan providers whose plans they sell or intermediate. The provider, known as the \u201cprincipal\u201d firm, would be responsible for ensuring their appointed representatives comply with the relevant rules for selling plans. This results in a proportionate approach, whereby smaller firms that operate as intermediaries will be required to follow the rules that protect consumers, without necessarily needing to undergo full FCA authorisation. To support these small firms during the transition period the FCA will reach out to the industry to explain their regulatory standards and expectations regarding the authorisation gateway.<\/p>
<\/p>
The FCA is examining feedback concerning competition and smaller plan providers, among other things, as part of its consideration of responses to its consultation. The FCA will consider this feedback in the context of its operational objectives - which include ensuring an appropriate degree of protection for consumers and promoting effective competition in consumers\u2019 interests - as part of its decisions on the regime.
The FCA\u2019s consultation proposed that funeral plans should be brought within the scope of the Financial Services Compensation Scheme. The Government is currently considering whether further legislation is required to ensure the Compensation Scheme would operate effectively for consumers, if it covered this sector.<\/p>"}
, "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"}
}
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, "answeringMemberPrinted" : {"_value" : "John Glen"}
, "dateOfAnswer" : {"_value" : "2021-05-20", "_datatype" : "dateTime"}
, "groupedQuestionUIN" : [{"_value" : "2183"}
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, "questionFirstAnswered" : [{"_value" : "2021-05-20T09:38:54.273Z", "_datatype" : "dateTime"}
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, "answeringDeptId" : {"_value" : "14"}
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, "answeringDeptSortName" : {"_value" : "Treasury"}
, "date" : {"_value" : "2021-05-17", "_datatype" : "dateTime"}
, "hansardHeading" : {"_value" : "Funerals: Pre-payment"}
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, "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"}
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], "questionText" : "To ask the Chancellor of the Exchequer, if he will publish his timetable for bringing forward legislative proposals on pre-paid funeral plans.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"}
, "tablingMember" : {"_about" : "http://data.parliament.uk/members/350", "label" : {"_value" : "Biography information for Sir John Hayes"}
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, "tablingMemberPrinted" : [{"_value" : "Sir John Hayes"}
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, {"_about" : "http://data.parliament.uk/resources/1253315", "AnsweringBody" : [{"_value" : "Treasury"}
], "answer" : {"_about" : "http://data.parliament.uk/resources/1253315/answer", "answerText" : {"_value" : "
The government is committed to strengthening regulation of the pre-paid funeral plan sector. As part of the Budget, and following consultation, the Chancellor announced the government\u2019s intention to legislate to bring pre-paid funeral plan firms within the remit of the Financial Conduct Authority (FCA). This will ensure that, for the first time, all firms offering pre-paid funeral plans are subject to compulsory and robust regulation.<\/p>
<\/p>
The government intends to lay the necessary legislation very soon. Once this legislation is made, there will be an implementation period before the new regulatory framework comes fully into force. This will allow time for funeral plan providers and firms which sell plans to take the necessary steps to meet the new regulatory requirements.<\/p>"} , "answeringMember" : {"_about" : "http://data.parliament.uk/members/4051", "label" : {"_value" : "Biography information for John Glen"} } , "answeringMemberConstituency" : {"_value" : "Salisbury"} , "answeringMemberPrinted" : {"_value" : "John Glen"} , "dateOfAnswer" : {"_value" : "2020-11-23", "_datatype" : "dateTime"} , "isMinisterialCorrection" : {"_value" : "false", "_datatype" : "boolean"} , "questionFirstAnswered" : [{"_value" : "2020-11-23T14:59:10.383Z", "_datatype" : "dateTime"} ]} , "answeringDeptId" : {"_value" : "14"} , "answeringDeptShortName" : {"_value" : "Treasury"} , "answeringDeptSortName" : {"_value" : "Treasury"} , "date" : {"_value" : "2020-11-18", "_datatype" : "dateTime"} , "hansardHeading" : {"_value" : "Funerals: Pre-payment"} , "houseId" : {"_value" : "1"} , "legislature" : [{"_about" : "http://data.parliament.uk/terms/25259", "prefLabel" : {"_value" : "House of Commons"} } ], "questionText" : "To ask the Chancellor of the Exchequer, whether he has made an assessment of the potential merits of delaying plans to bring funeral plan providers under the remit of the Funeral Planning Authority in the context of the covid-19 outbreak.", "registeredInterest" : {"_value" : "false", "_datatype" : "boolean"} , "tablingMember" : {"_about" : "http://data.parliament.uk/members/4360", "label" : {"_value" : "Biography information for Gavin Robinson"} } , "tablingMemberConstituency" : {"_value" : "Belfast East"} , "tablingMemberPrinted" : [{"_value" : "Gavin Robinson"} ], "uin" : "117274"} ], "itemsPerPage" : 10, "next" : "http://eldaddp.azurewebsites.net/answeredquestions.text?_page=1&answer.answeringMemberConstituency=Salisbury&hansardHeading=Funerals%3A+Pre-payment", "page" : 0, "startIndex" : 1, "totalResults" : 23, "type" : ["http://purl.org/linked-data/api/vocab#ListEndpoint", "http://purl.org/linked-data/api/vocab#Page"]} }