The Green Party has reiterated its call for the government to step in and cap the cost of payday loans, with a “wronga” bake sale organised outside the headquarters of the payday loan company Wonga.
The demo, organised by the Young Greens – the branch of the Green Party for students and the under 30s – saw Young Greens, joined by Green Party leader Natalie Bennett, giving out free cake to the public on the proviso that it is returned with a 5853% interest rate, the same APR as Wonga loans.
London Green Party Co-Coordinator, Benali Hamdache said "Wonga take advantage of the poorest in society through their eye-popping interest rates. Our "wronga" bake sale is our way of hammering home the rampant profiteering that is at the heart of their business model.
"The Green Party has passed policy calling for the capping of the cost of payday loans, as well as more stringent credit checks for payday loan applicants. Government must bring in regulation to reign in the behaviour of payday loan firms.”
Natalie Bennett Green Party leader said “Wonga have thrived because we are one of the few countries without a law on capping the cost of credit. It's why the UK is seen as a prime financial opportunity for these immoral payday loan firms. It's time to end that."