The government has asked the advertising watchdog to investigate imposing greater curbs on TV and radio advertising for payday loans, after members of the House of Lords raised concerns about the impact of advertising on children.
The call was made in the House of Lords during a debate on the Consumer Rights Bill. Minister Baroness Jolly said the Broadcast Committee of Advertising Practice (BCAP) had been asked to assess how children could be better protected by considering changes to how adverts are scheduled.
Baroness Jolly told the House of Lords: “The Government recognises the strong feeling on this issue. Treasury ministers have asked BCAP to broaden the remit of its review to consider the appropriateness of scheduling rules as well as content. Treasury ministers are writing to BCAP and they have agreed to this. They will publish it in full in the new year.”
The Children’s Society is campaigning for a ban on payday loan advertising on TV and radio before the 9pm watershed – to protect children from the impact of irresponsible payday loan advertising – and peers were contacted 16,707 times over the past few weeks to encourage them to support a ban during this afternoon’s debate.
Matthew Reed, chief executive of The Children’s Society, said: “Today’s decision by government to ask the advertising watchdog to review the rules on when payday loan adverts can be broadcast on TV and radio is a positive step. We welcome ministers’ recognition that the impact of such advertising on children is a major cause for concern. We will be passing our evidence to the watchdog and will be pushing for an early decision to ban these ads before the 9pm watershed.
“Our research shows that children are routinely being exposed to advertising that makes high-risk, high-cost loans seem fun or normal. And the majority of British parents support a pre-watershed ban. Children should learn about borrowing and debt from their school and family – not from irresponsible payday loan advertising which encourages families to fall into problem debt.”