Budgets frozen for ‘scambusters’
SPECIALIST Trading Standards teams that tackle loan sharks and other scams have avoided funding cuts but will see their budgets frozen.
The Illegal Money Lending (IML) and Scambuster projects will be funded next year by the Department for Business at approximately the same level as this year – receiving £5.2m and £3.2m respectively. Funding is expected to be maintained at similar levels in 2012/2013.
To date, the IML teams have identified more than 1,700 illegal lenders, arrested more than 500 loan sharks and written-off more than £37m of illegal debts.
Scambuster teams have uncovered an estimated £55m worth of fraud, made estimated £23m of savings for consumers and seized £16.5m worth of criminal assets.
The Department for Business, Innovation and Skills is also to restructure the IML project – moving away from regional teams to a structure that will see one team in England alongside national teams in Scotland and Wales.
Action in England will be co-ordinated by a Birmingham-based team that already covers five regions. Consumer Minister Edward Davey said: “These are good projects – they are taking the fight to loan sharks and scammers in communities up and down the country.
“It is extremely pleasing that despite the huge budget deficit we have been able to find the funding to continue this important work. People who prey on the vulnerable will not be tolerated and these teams will help lead the fight against these crooks.
“But at a time when extremely tough public spending decisions have to be made, we have also taken a long hard look at whether we can deliver the same outcomes in a more efficient way. I believe our new structure does exactly that – I’m confident it will bring efficiency savings and even better results.”
