Tag: Payday lenders

High Street headed to gambling “ghetto”

highstreetBetting shops and payday lenders could rule the high street roost if new legislation comes into place.

The warnings from the Local Government Association (LGA) as new rules, which came into place yesterday, stipulate that some premises don’t have to apply for permission to change what they supply for up to two years.

It means that premises previously used as independent gift shops could be turned into payday loan companies while greengrocers could become betting shops, without the need for planning permission or public consultation.

The government said it had made the decision as it felt it would help boost economic growth and bring boarded-up shops back into use. However the LGA said that it felt it would do the opposite and instead lead to more high streets being over-run with clusters of betting shops and payday loan companies.

The association also pointed out that the new rules would  also allow almost any buildings to be temporarily turned into new free schools with no public consultation or planning permission. And in many parts of the country, developers will be given free rein to convert offices into flats without planning consent.

It said that the government had to rethink its plans and instead look at rejuvenating the highstreet by encouraging the opening of businesses that residents wanted there. It said the new rules would make this method harder.

Cllr Mike Jones, Chairman of the LGA’s Environment and Housing Board, said people were “fed up” of having their local high streets filled with betting shops and payday loan companies. He warned that was a “very real danger that, in chasing a short-term boost, this panic measure could end up creating real problems” in highstreets and doing lasting damage to our town and cities.

“This could potentially drain the life from our highstreets,” he said in a report.

Labour wades into high street debate

highstreetLabour has put its oar into the “how to fix the high street debate”.

Ed Miliband, Labour leader,  said that he wants to see payday lenders and betting shops that “engulf” people in debt, as well as take-away food chains, banned from the high street.

The Labour leader is speaking out against the way these shops are allowed to open up at the drop of a hat – sometimes next to each other – at the launch of his party’s local election campaign.

He proposes changes to planning laws, allowing councils to refuse permission for certain businesses.

He is expected to say councils should be allowed to prevent shops opening, such as payday lenders and bookmakers, which do not have a community’s backing as he believes in “local solutions to local problems”.

Miliband says that too many councils are finding that they don’t have the real power to stand up for local people. He said that if a bank or store closed down there is currently nothing that can be done to prevent a payday lender or betting shop opening up.

Last year 1,800 leisure, retail and services shops closed in England. Many were replaced by pay day loan shops, which saw a 20 percent increase in openings.