Share

Lord Phillips: Social investment could yet be included in Financial Services Bill

Lord Andrew Phillips of Sudbury
News

Lord Phillips: Social investment could yet be included in Financial Services Bill

Finance | Vibeka Mair | 11 Jul 2012

Lord Phillips of Sudbury has said he is hopeful that government will support concessions for social investment in the Financial Services Bill which is currently going through the House of Lords.

The Bill currently makes no specific reference to social investment, and attempts by Labour MP Christopher Leslie and Lord Phillips to get social investment mentioned in the Bill have failed or been withdrawn. Lord Phillips withdrew his latest attempt late yesterday after a debate.

However, he told civilsociety.co.uk that he believed it could be possible to persuade government to make some concessions for the “social investment fraternity” during the Bill’s passage through the House of Lords. 

In the House of Commons, MP Leslie’s social investment amendments was narrowly defeated across party lines, when eight Labour MPs who voted in support were defeated by ten Tory and Liberal Democrat MPs.

However, Phillips said the House of Lords was “much less partisan”:

“This is not a partisan issue,” he said. “And the coalition government has gone out of its way to encourage social investment”.

The Bill reached committee stage in the House of Lords yesterday, where Lord Phillips and fellow peers debated amendments he had tabled in support of social investment.

With regards to the social investment sector and the new Financial Conduct Authority who will regulate all financial activity, Lord Phillips stressed that “one size did not fit all”:

“The message repeated from end to end of the not-for-profit sector. It wants the regulators to have a sensible discretion to distinguish, as I say, between theses very different animals,” he said.

“The minister in the Commons made a plea that we must have a level playing field, with no distinction between massive international banks and a little local social endeavours. To the sector, and indeed to me, that is not a level playing field; it is a level killing field.”

Conservative peer Lord Hodgson broadly supported Lord Phillip’s amendment, as did Labour peer Baroness Hayter of Kentish Town.

However, concerns were raised by Commercial Secretary to the Treasury Lord Sassoon on amendments which indicated that the new financial regulator should not inhibit the development of social investment:

“Although I agree with my noble friend Lord Phillips of Sudbury that the government need to act in support of the social investment sector, we will not create a healthy UK financial services market, including for social financial services, by giving the FCA the job of taking forward what should be and is part of the government’s wider social policy agenda.”

In the end Lord Phillips withdrew his amendments, but told civilsociety.co.uk that when the Bill is debated again in the House of Lords he was hopeful that there would be support from peers and government on the inclusion of concessions for social investment.

"I had a discussion after the debate with the Bill team and Lord Sassoon. There is everything to play for."

The Bill is expected to be debated by peers again in the Autumn.

 

Comments

[Cancel] | Reply to:

Close »

Community Standards

The civilsociety.co.uk community and comments board is intended as a platform for informed and civilised debate.

We hope to encourage a broad range of views, however, there are standards that we expect commentators to uphold. We reserve the right to delete or amend any comments that do not adhere to these standards.

We welcome:

  • Robust but respectful debate
  • Strongly held opinions
  • Intelligent relevant discussion
  • The sharing of relevant experiences
  • New participants

We will not publish:

  • Rude, threatening, offensive, obscene or abusive language, or links to such material
  • Links to commercial organisations or spam postings. The comments board is not an advertising platform
  • The posting of contact details for yourself or others
  • Comments intended for malicious purpose or mindless abuse
  • Comments purporting to be from another person or organisation under false pretences
  • Gratuitous criticism, commentary or self-promotion
  • Any material which breaches copyright or privacy laws, or could be considered libellous
  • The use of the comments board for the pursuit or extension of personal disputes

Be aware:

  • Views expressed on the comments board are left at users’ discretion and are in no way views held or supported by Civil Society Media
  • Comments left by others may not be accurate, do not rely on them as fact
  • You may be misunderstood - sarcasm and humour can easily be taken out of context, try to be clear

Please:

  • Enjoy the opportunity to express your opinion and respect the right of others to express theirs
  • Confine your remarks to issues rather than personalities

Together we can keep our community a polite, respectful and intelligent platform for discussion.

Free eNews

No evidence of criminality at Tower Hamlets, say police

17 Apr 2014

The Metropolitan Police has said that there is “no credible evidence of criminality” following an...

Donations double in one day following Marathon runner’s death

16 Apr 2014

The amount donated to the National Osteoporosis Society, the charity 42-year-old Robert Berry was running...

Sector 'extraordinarily disconnected' from public, CFG chair says

15 Apr 2014

Charities are becoming “extraordinarily disconnected” from donors and supporters who do not understand...

Paula Sussex to be the next Charity Commission chief executive

17 Apr 2014

Paula Sussex, senior vice president, public sector of CGI, has been appointed the new chief executive...

Impact of welfare reforms felt by 95 per cent of Yorkshire charities

17 Apr 2014

A report published today which looks at the impact of welfare reforms in the region of Yorkshire and Humber...

Trussell Trust sees use of its foodbanks 'almost triple' in a year

16 Apr 2014

The number of people using the Trussell Trust’s foodbanks rose from 347,000 to 913,000 in a single year,...

'Technology can offer charities more than just online donations'

10 Apr 2014

Charities are focusing too much on using digital tools for fundraising instead of how technology can be...

Amnesty calls for 'full and frank disclosure' on alleged US surveillance

9 Apr 2014

Amnesty International has warned that alleged mass surveillance by the American intelligence agency NSA...

Virgin Money Giving launches app following year of growth

1 Apr 2014

Virgin Money Giving has launched an app for users after reporting that 30 per cent of traffic to its platform...

Join the discussion

 Twitter button

@CSFinance