PART 1

Financial Guidance etc

Objectives and functions of the single financial guidance body

Debt respite scheme: regulations
7
1
As soon as reasonably practicable after receiving advice from the single financial guidance body under section 6, the Secretary of State must consider whether to make regulations under this section.
2
After receiving advice from the single financial guidance body under section 6, the Secretary of State may make regulations establishing a debt respite scheme.
3
The regulations must take the advice into account.
4
The regulations may provide for the scheme to apply—
a
in England only,
b
in England and Wales,
c
in England and Northern Ireland, or
d
in England, Wales and Northern Ireland.
4A
The regulations may include the following as part of the scheme so far as it applies in England and Wales—
a
provision about the involvement of creditors in the process of devising a plan for the repayment of some or all of an individual's debts;
b
provision to protect an individual, during the period of a repayment plan, from being required to repay a debt to which the plan applies otherwise than in accordance with the plan;
c
provision for an amount payable in respect of a debt in accordance with a repayment plan—
i
to be payable instead towards the costs of operating the repayment plan, other repayment plans or the debt respite scheme, and
ii
to be treated, so far as paid towards those costs, as permanently reducing a debt to which the plan applies.
5
Regulations under this section may—
a
make different provision for different purposes,
b
make different provision for different areas,
ba
make provision binding the Crown,
c
make incidental, supplemental, consequential, transitional or saving provision, and
d
apply to obligations entered into, or debts due to be repaid, before the regulations come into force.
6
Provision under subsection (5)(c) may amend any provision made by or under—
a
an Act of Parliament,
b
in the case where the regulations provide for the scheme to apply in Wales, a Measure or Act of the National Assembly for Wales, and
c
in the case where the regulations provide for the scheme to apply in Northern Ireland, Northern Ireland legislation.
7
Regulations under this section are to be made by statutory instrument.
8
An instrument containing regulations under this section may not be made unless a draft of the instrument has been laid before and approved by a resolution of —
a
each House of Parliament,
b
in the case where the regulations provide for the scheme to apply in Wales, the National Assembly for Wales, and
c
in the case where the regulations provide for the scheme to apply in Northern Ireland, the Northern Ireland Assembly.
S. 7 in force at 1.10.2018 by S.I. 2018/1029, reg. 2(e)
S. 7(4A) inserted (E.W) (29.6.2021) by Financial Services Act 2021 (c. 22), ss. 35(2), 49(2)(c)
S. 7(5)(ba) inserted (29.6.2021) by Financial Services Act 2021 (c. 22), ss. 35(3), 49(2)(c)