(2) what representations he has made to the Financial Services Authority on the closure of Farepak; and if he will make a statement.
Companies offering financial services, including savings companies, are already subject to specific regulation. One of the main objectives of this regulation is to protect savers and investors in the event of company failure, and I have at present no new measures in mind in relation to savings companies. The Minister for Trade, Investment and Foreign Affairs is meeting the chief executive of the Office of Fair Trading to ask the OFT to reassess the regulatory framework which applies to Christmas club companies such as Farepak, and whether changes are needed in that framework. He will consult other bodies as appropriate in the light of his discussion with the OFT.