Research and analysis

Payday lending research reports

Payday lending reports to help inform government and regulators on consumer credit regulations transfer to the Financial Conduct Authority.



Two BIS reports provide further insights and research information on the payday market. This will help to strengthen the evidence base and help inform government and the regulators on the transfer of consumer credit regulation to the Financial Conduct Authority (FCA) in April 2014.

The BIS payday lending codes report sets out the findings of surveys of more than 4000 consumers and 44 payday lending firms. The surveys were undertaken to test how well payday lenders are meeting the standards set out in their good practice customer charter and codes of practice. The new charter and improved codes were introduced by the 4 main trade associations representing the payday industry in November 2012.

The Ipsos MORI report for BIS provides qualitative research information on the impact of payday lending advertising on consumers and their behaviour. BIS commissioned the research to explore whether payday loan advertising presents consumers with a balanced impressions of the costs and risks associated with payday loans. The fieldwork included 4 focus groups held in Sheffield and London. The research considered a range of payday lending advertising across various media and consumers’ likely response to potential modifications to adverts.

The FCA’s consultation paper sets out in detail how it will regulate consumer credit, including payday lending, when it takes over responsibility from the Office of Fair Trading (OFT) in April 2014.

Published 3 October 2013