Thursday, October 14, 2010

Consumer Direct helpline to be run by Citizens Advice

As part of the axe falling on quangos, the government-backed Consumer Direct helpline will be taken over by the Citizens Advice Bureau.

The Office of Fair Trading (OFT) is being stripped of its consumer protection role.

The OFT is to be merged with the Competition Commission.

Continue reading the main story
Related stories
List of axed quangos is published
Q&A: What is a quango?
Local trading standards officers will deal with the OFT's previous high-profile work in taking on major consumer issues.

BBC business editor Robert Peston said: "The big question is whether local trading standards offices will have the resources or expertise to really challenge the behaviour of giant businesses."

Changes

Some 192 organisations will be abolished in the government's cull of quangos.

This will impact directly on consumers who will see a dilution of some of the groups that offer support and advice.

Continue reading the main story “
Start Quote
It's a huge reform agenda and one which seems in tune with David Cameron's localism and Big Society visions. Does it make sense?”
End Quote

Robert Peston

Business editor, BBC News

--------------------------------------------------------------------------------
Read Robert's blog
They include:

The Consumer Direct helpline - which offers immediate advice and forwards serious cases on to trading standards officers - will be overseen by Citizens Advice rather than the OFT
High-profile consumer right challenges will devolve to local trading standards officers from the OFT
Granting of licences to offer credit to consumers will go to the new Consumer Protection and Markets Authority
Consumer Focus - the government's official consumer watchdog is expected to be scrapped
Both Consumer Focus and Consumer Direct were set up by the previous Labour administration.

Trading standards officers campaigned for the Consumer Direct helpline to ease the pressure on dealing with frontline complaints from consumers - about things such as second-hand car sales - to concentrate on investigating and prosecuting rogue traders.