This article is from the source 'bbc' and was first published or seen on . It will not be checked again for changes.
You can find the current article at its original source at http://news.bbc.co.uk/go/rss/-/1/hi/business/6123700.stm
The article has changed 15 times. There is an RSS feed of changes available.
| Version 12 | Version 13 |
|---|---|
| Farepak families fund is launched | Farepak families fund is launched |
| (about 2 hours later) | |
| A new fund is being set up to help the thousands of families affected by the collapse of the Farepak hamper firm. | A new fund is being set up to help the thousands of families affected by the collapse of the Farepak hamper firm. |
| The Minister for Consumer Affairs, Ian McCartney, said the Farepak Response Fund was being established with help from York-based charity Family Fund. | The Minister for Consumer Affairs, Ian McCartney, said the Farepak Response Fund was being established with help from York-based charity Family Fund. |
| He said Tesco had pledged £250,000 and called on other firms to help. | He said Tesco had pledged £250,000 and called on other firms to help. |
| Swindon-based Farepak ran a savings scheme for 150,000 people for vouchers and Christmas hampers, but collapsed in October without offering compensation. | Swindon-based Farepak ran a savings scheme for 150,000 people for vouchers and Christmas hampers, but collapsed in October without offering compensation. |
| In another development, Sainsbury's has agreed that Farepak customers can get 25% of the value of their savings in Sainsbury's vouchers. | In another development, Sainsbury's has agreed that Farepak customers can get 25% of the value of their savings in Sainsbury's vouchers. |
| Family grants | Family grants |
| Mr McCartney announced the creation of the fund after a House of Commons debate on Farepak's collapse. | Mr McCartney announced the creation of the fund after a House of Commons debate on Farepak's collapse. |
| "If you are a multinational, national or local firm, it gives you the chance to make a donation, great or small," he said. | "If you are a multinational, national or local firm, it gives you the chance to make a donation, great or small," he said. |
| Let's get resources to people who need them Minister for Consumer Affairs, Ian McCartney | Let's get resources to people who need them Minister for Consumer Affairs, Ian McCartney |
| The Family Fund is a registered charity covering the whole of the UK, funded by government money, which provides grants to families with severely disabled children. | The Family Fund is a registered charity covering the whole of the UK, funded by government money, which provides grants to families with severely disabled children. |
| Mr McCartney said that during 2006, it had given out grants totalling £27m to 46,000 families. | Mr McCartney said that during 2006, it had given out grants totalling £27m to 46,000 families. |
| 'Spirit of Christmas' | 'Spirit of Christmas' |
| He said the Farepak fund, which will grant vouchers to affected families, would be independent and accept contributions from any organisation or sector wishing to help. | He said the Farepak fund, which will grant vouchers to affected families, would be independent and accept contributions from any organisation or sector wishing to help. |
| "The fund is about a spirit of Christmas," he said. "Let's get resources to people who need them." | "The fund is about a spirit of Christmas," he said. "Let's get resources to people who need them." |
| Calling the situation a "national emergency", he also asked MPs to give a day's pay towards the fund and said he was in negotiations with the London Stock Exchange about a possible fundraising day there. | Calling the situation a "national emergency", he also asked MPs to give a day's pay towards the fund and said he was in negotiations with the London Stock Exchange about a possible fundraising day there. |
| MPs have called the Farepak problem a national tragedy and emergency Q&A: Farepak hamper collapse | MPs have called the Farepak problem a national tragedy and emergency Q&A: Farepak hamper collapse |
| After announcing its donation, Tesco said: "While the circumstances surrounding Farepak are not in any way of our making, we are very concerned about the impact on those affected. | After announcing its donation, Tesco said: "While the circumstances surrounding Farepak are not in any way of our making, we are very concerned about the impact on those affected. |
| "We believe the DTI scheme offers the best means of helping all Farepak customers to enjoy their Christmas." | "We believe the DTI scheme offers the best means of helping all Farepak customers to enjoy their Christmas." |
| Argos said it was "currently investigating ways in which we can reach out to Farepak customers to help them out as we approach the Christmas season". | Argos said it was "currently investigating ways in which we can reach out to Farepak customers to help them out as we approach the Christmas season". |
| Marks & Spencer chief executive Stuart Rose, speaking before the Farepak Response Fund was announced, had said M&S would be willing to contribute to a scheme to help once one was in place. | Marks & Spencer chief executive Stuart Rose, speaking before the Farepak Response Fund was announced, had said M&S would be willing to contribute to a scheme to help once one was in place. |
| And Park Group, which owns High Street Gift Vouchers, one of the products sold by Farepak, has said it will contribute £1m to the scheme. | And Park Group, which owns High Street Gift Vouchers, one of the products sold by Farepak, has said it will contribute £1m to the scheme. |
| Meanwhile, home shopping firm Findel, which bought a number of business assets - but not the stricken hamper firm - from Farepak owner European Home Retail, said it would support the fund. | Meanwhile, home shopping firm Findel, which bought a number of business assets - but not the stricken hamper firm - from Farepak owner European Home Retail, said it would support the fund. |
| Angry MPs | Angry MPs |
| Earlier in the Commons, Labour MP for Birkenhead, Frank Field, attacked the role of HBOS in the collapse of Farepak. | Earlier in the Commons, Labour MP for Birkenhead, Frank Field, attacked the role of HBOS in the collapse of Farepak. |
| HBOS was Farepak's banker and Mr Field said it should bear a heavy responsibility for the misery caused. | HBOS was Farepak's banker and Mr Field said it should bear a heavy responsibility for the misery caused. |
| I felt angry, upset and confused, when I heard that Farepak had collapsed Nightmare before Christmas | I felt angry, upset and confused, when I heard that Farepak had collapsed Nightmare before Christmas |
| Mr McCartney said he hoped HBOS would contribute to the fund. | Mr McCartney said he hoped HBOS would contribute to the fund. |
| But some MPs said they wanted a protest outside HBOS's headquarters in Edinburgh. | But some MPs said they wanted a protest outside HBOS's headquarters in Edinburgh. |
| And the Labour MP for Swindon South, Anne Snelgrove, said in the Commons that the demise of Farepak was the "nightmare before Christmas" for hamper savers. | And the Labour MP for Swindon South, Anne Snelgrove, said in the Commons that the demise of Farepak was the "nightmare before Christmas" for hamper savers. |
| After the welfare fund was announced she said: "At last we now have a system where we can bring in money from big business and others who want to donate." | After the welfare fund was announced she said: "At last we now have a system where we can bring in money from big business and others who want to donate." |
| 'Goodwill gesture' | 'Goodwill gesture' |
| Sainsbury's has become the first major retailer to give some help to Farepak members, offering vouchers to be spent in its stores. | Sainsbury's has become the first major retailer to give some help to Farepak members, offering vouchers to be spent in its stores. |
| The supermarket said it would need the help of Farepak agents, who hold customer details, to ensure its plan was a success. Sainsbury's hopes to despatch the vouchers by the beginning of December. | The supermarket said it would need the help of Farepak agents, who hold customer details, to ensure its plan was a success. Sainsbury's hopes to despatch the vouchers by the beginning of December. |
| It said: "While Sainsbury's has no involvement with Farepak and its operation, we now know that many of Farepak's customers had planned to use their savings to buy Sainsbury's vouchers. | It said: "While Sainsbury's has no involvement with Farepak and its operation, we now know that many of Farepak's customers had planned to use their savings to buy Sainsbury's vouchers. |
| "We hope that through this goodwill gesture, we have been able to give these customers that opportunity and we have gone some way to mitigating this difficult situation." | "We hope that through this goodwill gesture, we have been able to give these customers that opportunity and we have gone some way to mitigating this difficult situation." |
| The Department of Trade and Industry has launched an investigation into what happened at Fairpak. | The Department of Trade and Industry has launched an investigation into what happened at Fairpak. |
| Administrators said that no orders would be fulfilled after the company was taken into administration on 13 October. | Administrators said that no orders would be fulfilled after the company was taken into administration on 13 October. |
| Some of those affected are understood to have lost thousands of pounds they had saved in vouchers ready to spend at Christmas. | Some of those affected are understood to have lost thousands of pounds they had saved in vouchers ready to spend at Christmas. |