Explanatory note

Section 37(1) of the Consumer Credit Act 1974 and the Consumer Credit (Termination of Licences) Regulations 1976 provide for the termination of a consumer credit licence upon the occurrence of certain specified events.

These Regulations amend the above Regulations and provide for an additional terminating event. They make it clear that a licence can be voluntarily relinquished by the licensee and can terminate upon receipt by the Director General of Fair Trading of a notice in writing. The Regulations provide that such termination of the licence will be deferred for one month after the terminating event.