It's not been two months since the Financial Conduct Authority (FCA) released its consultation on payday lending - and recommended against a cap - and now politicians are attempting to bring one in. The FCA called such a proposal a "very intrusive proposition".
In October the FCA's "Detailed proposals for the FCA regime for consumer credit" the regulator warned that a price cap on the total cost of credit "could lead to prices increasing" - drifting towards the cap.
Alternatively, a cap could see "a significant reduction in lenders exercising forbearance." The FCA said that "neither of these ... would be beneficial for consumers."