The Independent claims today that George Osborne’s decision to impose a cap on payday lending costs was taken to avert a parliamentary rebellion led by the Archbishop of Canterbury, Justin Welby. It writes:
Senior Conservatives were understood to have been fearful of losing a vote on a hostile amendment in the House of Lords on Tuesday which would have set a charge cap of 10 per cent on all short-term loans and placed other restrictions on their sale.
The amendment to the Banking Reform Bill was being backed by Archbishop Justin Welby, who was considering speaking out in its favour in the Lords debate. His support was expected to garner the backing of a significant number of cross-bench peers and inflict an embarrassing defeat of the Government.
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