New Bailiff Rule and 10p Coins

0:00This BBC podcast is supported by ads outside the UK. Decisions made in Washington can affect your portfolio every day. But what policy changes should investors be watching? Listen to Washington Wise, an original podcast for investors from Charles Schwab to hear the stories making news in Washington right now. Host Mike Townsend, Charles Schwab's Managing Director for Legislative and Regulatory Affairs, takes a non-partisan look at the stories that matter most to investors, including policy initiatives for retirement savings, taxes and trade, inflation concerns, the Federal Reserve, and how regulatory developments can affect companies, sectors, and even the entire market.

0:44Mike and his guests offer their perspective on how policy changes could affect what you do with your portfolio. Download the latest episode and follow at schwab.com slash Washington Wise or wherever you listen.

1:01helps you manage risk and capture opportunities in all market environments. Capitalize on around the clock access to highly liquid global futures and options markets across all major asset classes. Visit your online broker and get started. See what adding futures can do for you at cmegroup.com forward slash podcast. Derivatives are not suitable for all investors and involve the risk of losing more than the amount originally deposited and any profit you might have made. This is not a recommendation or offer to buy, sell, or attain any specific investment or service. hello coming up in this money box podcast we hear how thousands of loved ones of former and current civil servants who've died are still having to wait more than 100 days for their money eight months into the ongoing scandal of the capita run civil service pension scheme there's a new 10 pence piece on the way celebrating king charles's love of nature but do we even use them anymore and with many students already back to school or returning shortly what help can parents get with their finances?

2:00But first, intimidation, unfair treatment and pushing people into excessive repayment plans they simply can't afford. That's the kind of bad behaviour from bailiffs in England and Wales that changes announced by the government this week are designed to stamp out. Things that Cheryl from Staffordshire, who I went to seize, has happened to her. She worked two jobs but got into nearly£2 ,500 of the debt after a dispute with a home improvement company. Well, that debt jumped by around£1 ,000 after visits from bailiffs over that and other debts that Cheryl has. Bailiffs can charge more than£200 when they knock on your door, but that amount is set by law and limited to one charge per debt.

2:42But as for the visits themselves, Cheryl says she found them intimidating and threatening. When the bailiffs have actually turned up, it was a big surprise, especially the first time and the second time. It was daunting. They were quite threatening in a way, if that makes sense. And it just unnerved me. It's been very unnerving. It's been intimidating. And it frightened me because I was living here on my own without any backup. So it wasn't nice. Well, the changes will make it mandatory for every bailiff to sign up to a code of practice. Now, they already exist and are overseen by an organisation called the Enforcement Conduct Board, or the ECB.

3:36Now, it was set up a couple of years ago by the enforcement sector working hand-in-hand with debt advice providers, but it's been a voluntary scheme. And whilst around 96-97 % of the industry is signed up, that means a small but significant section isn't. And from now, that changes. Here's Cheryl again. I had an officer whose car was blocking my driveway. I was stuck. I couldn't have got out because the officer didn't look like he was going to move anywhere. Very nerve, because I'm thinking if they take my car, I can't get to work. I can get to my first job, but I can't get to my second job or get home from my second job unless I pay for a taxi.

4:20And that's not cheap. Now last year, bailiffs actually collected just over£1 billion worth of debt, and a lot of that was on behalf of local authorities for things like council tax or parking and road traffic fines, money which often gets spent then on public services. But with around 7.5 million enforcement cases last year, the small percentage of bailiffs not signed up is significant. Now as for bailiff companies, well Russell Hamlin Boone is the chief executive of SIVIA, the Civil Enforcement Association, who told us it's good news for his members and... It's also good news for anyone who does get a call or gets a knock at the door from a bailiff because they know that he or she is going to be working to the highest standards, they're going to be there to support them, help them to be able to pay back the debts they owe to the government or to the council.

5:11And importantly, if any of those things don't happen, And if they're not meeting those highest standards, they're somewhere they can go to complain, they can report, and we can make sure that any poor practices are addressed. Now, unusually, perhaps, this is a change that has really broad support. The ECB itself told us it's a, quote, major step forward for consumer protection. Vicky Brownridge is Chief Executive of the debt advice charity StepChange. We hugely welcome this step. It's a really great step towards full regulation of the sector. It will give the Enforcement Conduct Board the opportunity to bring all enforcement agents into their purview, which is fantastic.

5:53However, we still want to see the Ministry of Justice maintain momentum on this subject and look for full regulation of the sector, because currently there is no legal power that the Enforcement Conduct Board has to deal with complaints, for example, and or, for example, you know, strike off rogue bailiffs. Well, earlier I asked the Minister for Courts and Legal Services, the minister responsible for all of this, Sarah Sackman Casey, what the point in making bailiffs sign up to this is and how this will help people like Cheryl who'd never even heard of the Enforcement Conduct Board. Well, the clip that you heard from Cheryl, I think, describes better than I could precisely why today we're taking this major step forward to strengthen the protection for people who are often vulnerable, often through no fault of their own.

6:43You heard from Cheryl, she was holding down multiple jobs, but struggling with debt. And what today's step means is that bailiffs have to be accredited with an independent regulator. That means they have to be accountable. They have to apply professional standards. What we're trying to root out are the sort of aggressive behaviours that Cheryl and others have experienced, which can really destroy lives. And actually, this is a step that you've heard is welcomed not just by charities like Step Change, not just by people who find themselves in debt, but by the industry itself. It's about raising standards and protecting lives.

7:19OK, so let's talk practicalities. What is someone like Cheryl supposed to do when, in her words, intimidating and threatening bailiffs turn up at her door? Well, one thing this step change will allow us, allow someone like Cheryl to do is where there have been behaviours that fall below expected standards. She could complain to the ECB and see that redress and the independent regulator can take action against those bailiffs. Some of the changes we're bringing in also mean that where she receives a notice for debt, that there'll be more time to seek advice and support from debt charities like Step Change.

7:57So this is all part of a package that is about strengthening protection for those who find themselves in positions of difficulty. You announced plans to do something similar. And in fact, you came on Moneybox well over a year ago. But then you were talking about statutory regulation, giving the Enforcement Conduct Board real legal powers like Ofgem, for example, which regulates the energy industry. Why aren't you doing that here? Well, I'm really glad that a year after we spoke, today represents real progress. And it's about showing for those people who find themselves in a vulnerable position that we're acting now.

8:30Primary legislation can take a lot of time. And what today is is a stepping stone towards a wider regulatory framework. work, what it means is, is from as soon as these provisions take effect, that bailiffs have to be accredited, they have to come under the auspices of the independent regulator. And as you've heard from the likes of Step Change, from the likes of Martin Lewis, this will mean a real meaningful change as soon as these come into force. It's a stepping stone, but it's part of our ambitious reforms to regulate the bailiff industry. Now, those potentially bad operators who obviously weren't voluntarily signed up to this scheme and are now, because it's going to be mandatory to sign up and they're going to have to, they could still behave badly regardless of signing up to something and say, basically, sign up, shrug their shoulders and that's it.

9:21Do you think this is going to make a real difference to those rogue operators? I do think it will make a difference because if they don't adhere to the standards and rules of the Enforcement Conduct Board, they will have their licence to operate removed. No court is going to grant them an accreditation certificate if they don't behave. Obviously, government can't rule out that bad apples will behave badly. But today's step means that we now have an independent regulator holding those bailiffs to account where they act aggressively. I should say that the majority of bailiffs, there are half a million a year, act responsibly and deal with these difficult situations where there does need to be debt recovery in a way that takes account for the vulnerability of those individuals they're dealing with.

10:11What today is all about is making sure that those bad actors, those cowboys that have far too long been getting away with it, no longer can. But again, isn't the government taking a bit of a shortcut here? You talk there about the length of primary legislation. I understand that, but putting all the emphasis on bailiffs signing up to something, rather than making it a proper legal requirement in giving the ECB legal teeth. Because at the moment, it's going to be a sort of membership organisation, isn't it? Well, actually, today's change does give it legal teeth. When it comes into force through secondary legislation, what it will mean is that when a bailiff has to apply for a certificate, they can't operate without a licence.

10:49If they don't follow the rules and they don't come under the regulator, they won't get that licence. So it is mandatory. And it's not so much a shortcut, it's progress, it's acting now. As I said, it's a stepping stone to the much wider legal changes that we want, but it's a really meaningful one. And what we've had up until now is a voluntary membership organisation where those bailiffs pay in to operate under it. What we have done today is make it mandatory, and that is a genuine step forward. Sarah Sackman speaking to me earlier. Now, more than 2 ,000 relatives of current and former civil servants who've died have been waiting for more than 100 days for money they're owed after the death of their loved ones.

11:36It's just been really frustrating and totally unacceptable for somebody who has faced the loss of a spouse and then they lose that income and to have to wait so long. Moneybox listener Sally there will more from her in just a minute because in the latest update on the chaos engulfing members of the civil service pension scheme who face long delays since Capita took over the running of it in December well the government asked the firm to provide details of the most sensitive cases where people have been left waiting for pension and death in service payments. Well the figures released earlier this week show that around 1 ,000 bereaved loved ones have been waiting more than 100 days for pension payments with 45 waiting for death in service lump sums that's despite capita having all the information needed to pay them hundreds more cases are also stuck with capita saying it's waiting on more information to process those claims well money box listener sally who we just heard from well she contacted us following the sad news of her dad's sudden death in november last year now it's taken nine months for her mom to receive the money she's due as part of her spouse's pension.

12:49Sally told our reporter Jo Krasner how it's left her, her mum and the family feeling. I suppose the best description is really helpless because I seem to be turning down so many avenues and none of them were able to make any progress at all. I got to the stage of thinking, you know, what else can I do, if anything? and you know I was dealing with my mum who has never really had much dealings with their financial situation and was anxious to know what income she would have coming in what outgoing she would have on a monthly basis to know if she was going to be able to manage. It is a shocking situation and have you had to deal with other organisations how does capita service compare to others?

13:41My father had been in the Air Force for over 20 years and that was dealt with very smoothly. We sent the documents in and very quickly my mum got notification of her pension from there and it went into payment. So where are you up to now with the situation? Are you happy that it's been resolved or being resolved? It's not resolved yet. I think the tax that's been taken off the first payment that's been made to my mum, which includes the arrears, is probably too much. And so I wait to see when the regular payments start to come through, whether that will naturally correct itself through PAYE or whether I will have to get in touch with the revenue to sort that out.

14:26and the correspondence from Capita said that they will revisit the situation as to regards interest on the late payment of pension and any question of compensation at a later date. So it's certainly not finished yet. And how's your mum dealing with this situation? She will be glad when it is resolved, I think. I've been dealing with it on her behalf, but it does take its toll and it does make her anxious. and how are you dealing with it?

15:01I'm managing because I've spent my career in the financial world so this is familiar territory to me and I'm not necessarily frightened by this sort of thing but I can see that for a lot of people it is scary and as I say I'm just finding it very, very frustrating. Sally, just one of the many people who have contacted Moneybox whose grief is compounded by those long delays. Hilary is another listener who told us she's still waiting for her payment nearly six months on from when her husband died. My husband, Michael, a civil service pensioner, died on the 10th of March. I informed civil service pensions and after a while they sent me the forms which I returned.

15:47After that, I waited and waited. Nothing happened. So I called them and was told I was on the system. I've been calling periodically since then and get no further information. In June, I was told they were still dealing with November and December claims. I left in another two months before I called again. Still no progress has been made. I am still on the system, nothing more. I finished the call feeling sympathy for the operative I had dealt with. I imagined him constantly dealing with sad, angry and frustrated callers such as myself and having nothing helpful to say to any of us. Well our thanks to Sally and Hilary for sharing their stories during what's obviously a very difficult time and our thanks to Claire too for this voice note on WhatsApp.

16:39My husband Clive died on the 3rd of January in the mistaken belief that when he died I would have no need to worry about my widow's pension. He was a civil servant for over 40 years, hardworking and conscientious. I think there's an old saying that loyalty never goes unpunished. He would have been devastated to know that almost eight months after his death, I would have received nothing. Not even a letter confirming that at some future date I'll be receiving a widow's pension. Thankfully, I have savings to draw on, but my heart goes out to those who, as well as dealing with grief, are in dire financial trouble.

17:14I can only hope that by some miracle this situation will be resolved. Well, we told Capita about Claire's case and she actually told us yesterday her money is now on the way. Our reporter Hannah Mullane has more on this. Hannah, we both reported on this story before. We've heard from Capita many times. Lots of apologies, but seemingly little improvement. What's it had to say this week? Yeah, we have, Dan. Well, Capita told us that despite the progress it says it's made to date, it recognises the service hasn't been good enough, particularly for members waiting on bereavement, retirement and quotation cases and that it's sorry for the impact that this has had on those members.

17:50It told us it now has the processes, automation and technology in place to work through the backlog as quickly as possible. OK, so what about the Cabinet Office though? Because the government has ultimate responsibility for this scheme. It's just appointed Capita to run it. Yes, well the Cabinet Office told Moneybox that service levels following the move to Capita have been completely unacceptable, saying its immediate priority is to stabilise the scheme to give current and former civil servants the service they deserve. It also said that while what it called robust commercial levers will continue to be applied in the short term, the government intends to move forward the biggest wave of insourcing in a generation and reiterated it's actively shaping a long-term strategy to bring the pension scheme back in-house.

18:34OK, thanks, Hannah. And we will, of course, continue to follow this story and let you know of any updates. Hannah, stay with us. More from you in just a minute. But in the meantime, keep an eye on the change in your pocket over the next few months because you might just spot a new coin. The first 10 pence pieces to feature King Charles' portrait entered circulation this week. Our reporter Niamh McDermott's been taking a look at the new coin and trying to work out if there's anything you can actually buy with one. I keep my change in a sweet jar. And I've got 10 pence here, which probably looks similar to what most of you have.

19:08Silver with the Queen's head. But next time you're painting cash, you might see a new 10p coin, and it looks a little different. Heads, a portrait of King Charles. And tails, a capicale, the world's largest grouse found in small parts of Scotland and threatened with extinction. They are being released this week by the Royal Mint. But why now? And how do they actually make it into your pocket, your wallet or your purse? As coins are in demand, so there's cash centres all across the UK that take the nation's coinage. That's Rebecca Morgan, director of the Royal Mint. When they need more 10 pences, we'll deliver them to cash centres and the cash centres then deliver them out to shops and to supermarkets and the post office and all of those kinds of things.

19:54So that's how they get out into what we call circulation. She told me 7 million of these coins have been distributed. People think, obviously, there's been a decline in cash usage since electronic payments, but there's actually still a lot of people who still use cash. And sometimes it will just be a timing thing. You know, perhaps they haven't needed 10 pences for a long time. And now that they do, it's been a mix of denominations. £1.50 beats 5 pences at different points. It'll just be the flow of currency as people run low on these denominations because people have got them in their coin jars or something similar.

20:25They make up just 1 % of coins in circulation. but if I gave you 10p today, could you buy something with it? That's what I ask these people in Warrington. You'd be pushing it. I don't think so, no. Can't even get a Freddo for that anymore. No, you can't get much for 10p now. Well, probably not much these days. I think you could get something in the market at the lolly shop. Well, there's only one way to find out. I'm heading into Warrington Market with a pocket of 10ps. You can have an apple, my darling, or the orange or the pear. Oh, I'll take an apple. So I can have one Turkish delight for 10p.

20:58It's got to be the apple, if that's OK. Yes, please. For 10p at Nosy Parker Suites, you can get fizzy astro belts. You can get two flying saucers and red licorice sticks for 10p. If I can get two flying saucers, it's got to be two flying saucers then. Is that OK? Absolutely. So I'm looking around. OK, you've got eggs, potatoes, there's a watermelon. What can I get for 10p here? Carry your bag. Carry your bag. Do you want to see what I've got so far? Yeah, go on. So I've got an apple, an individual Turkish delight. Oh, OK, yeah. And two flying saucers. Yeah, yeah. Hey! Hi! How are you? I'm all right.

21:38I'm OK, I think. Yeah. What are you doing? You're wanting to market me. I have got 10p, because there's a new 10p coin out there. I don't have the new one, unfortunately. And I'm on the mission to see what I can buy for 10p. OK. Do you sell anything for 10p? Yes. Do you have a very, very thin slice of black pudding? Sure it goes to a good home, yeah? It will. It will be cooked up tonight, I promise you. There you are, Adam. Nice to meet you, Dave. Thanks so much for my 10p blackwood. It will. Have a great day. See you soon, too. Bye. Niamh McDermott at Warrington Market. And lots of you have emailed moneybox at bbc.co.uk on this.

22:12Just one here. Robin checked their wallet a few moments ago. And among lots of other small chains, they have 11 10 pence pieces in it. They frequently use them to buy coffee at their local Wetherspoons. Now, are you a parent of a 16 to 19-year-old or know someone who is? Well, if so, you might need to do something this weekend to extend and keep your child benefit if your children are staying in education. So A-levels, T-levels, Scottish highs or some kind of training. Hannah's still here and can tell us more. Yes, so once you've applied for child benefit, it's paid automatically until it stops on the 31st of August after your child's 16th birthday.

22:48After that, parents need to let HMRC know if their children are staying in education because in many cases that means that they're still eligible for that benefit. And how much is child benefit worth then? So it's around£27 per week for the eldest or only child and then up to£18.90 a week for each additional child. However, if the claimant or their partner earns over£60 ,000 they might have to start paying some of it back and if one parent earns£80 ,000 or more you'll pay the whole amount back. OK, so if you think your child's still eligible, what do you need to do? Well, some parents may have received a letter about it and they can use the QR code on it to extend their claim.

23:27Alternatively, you can use the HMRC app, the gov.uk website, phone or the post and the deadline is Monday 31st August, so not much time left to get it sorted. OK, understood. And there's also been some changes to free school meals for children this year too? Yep. From September, free school meals will be available to all children in England whose parents claim universal credit. Previously, there's been an earnings threshold per household of£7 ,400, which meant anyone earning more than that didn't qualify. And if that affects you, you do need to apply, usually via your local council or in some cases through your child's school.

24:01And remember to all children in reception year one and year two, get a free school meal in England, regardless of income. OK, but different schemes for free school meals at different ages for Wales, Scotland and Northern Ireland, right? Yep, and there are a couple of other changes happening from September there. So for Wales, free school meals for those on certain benefits have been expanded to include secondary school pupils in year seven and eight, regardless of income. And if you think that's you, you'll need to apply through your council. Northern Ireland have also increased the income threshold for families on universal credit and claiming free school meals to£15 ,900.

24:35OK, thanks very much, Hannah. And Felicity Hannah will be talking a lot more about costs for parents as children start back at school in the next Moneybox Live podcast. uniforms, lunches, after school clubs childcare, school trips what's squeezing your wallet as the new term begins. You can email Moneybox for any and all stories we read every message you send and you may even end up on the show moneybox at bbc.co.uk Paul Lewis will be back in the Moneybox podcast hot seat next time but today the reporters were Hannah Mullane, Joe Krasner and Niamh McDermott researcher Ima Devlin studio manager Matt Dempsey, our editor is Jess Quayle and I'm Dan Whitworth.

25:14And this was a BBC News Money and Work production for BBC Sounds. The murder of Tupac Shakur has generated nearly 30 years of rumours, conspiracy theories and unanswered questions. Now the mythology is about to meet the courtroom as the trial gets underway and Nevada prosecutors try and solve the mystery of who killed Tupac. I'm Manushka Matanda-Dawati and for the BBC's Fame Under Fire podcast I'll be inside the courtroom every day and I'm bringing you with me. What really happened on the Las Vegas Strip that night in 1996. It's time to separate fact from fiction. Join me for Fame Under Fire, the two-part murder trial, the testimony, the arguments, the moments that matter, and all the legal analysis.

25:52To get all the updates, listen and subscribe on BBC Sounds or wherever you get your podcasts so you never miss an episode.

26:12with global futures and options markets across all major asset classes. Visit your online broker and get started. See what adding futures can do for you at cmegroup.com forward slash podcast. Derivatives are not suitable for all investors and involve the risk of losing more than the amount originally deposited and any profit you might have made. This is not a recommendation or offer to buy, sell, or attain any specific investment or service. Investing with Schwab is like spending a Saturday at a great farmer's market. You can fill your reusable tote with a bit of everything. Maybe you go for some free-range self-directed investing.

26:43Or perhaps you pick up a few farm-fresh trades while you peruse. You can even get help from a dedicated advisor. That's full-service wealth management. Mix, match, and change your mind whenever you want. Because at Schwab, you can invest your way. No matter your goals or appetite for investing, Schwab has everything you need all in one place. Visit schwab.com to learn more.