Dear visitor,
You are viewing 1 of your 2 free articles


To view more free articles, please register

Free registration or Login

MPs urge government departments to adopt Standard Financial Statement

MPs are backing an early day motion calling for government departments to integrate the Standard Financial Statement (SFS) in their debt collection processes.


Amber Ainsley   Pritchard

Share on Twitter Linkedin black
Amber Ainsley   Pritchard
Share on Twitter Linkedin black

The motion was tabled on Monday March 13 in the House of Commons by Yvonne Fovargue MP, chair of the APPG Debt & Personal Finance, to coincide with Credit Strategy’s upcoming Credit Week and Credit Awareness Week campaign – the latter of which is being run in association with Experian.

 

Tom Brake MP, Sir Peter Bottomley MP, Bob Blackman MP and David Lammy MP are all backing the motion.

 

The SFS, now launched, has been designed to bring greater consistency to the way organisations assess people’s finances when they are in debt. It will be adopted by all major debt advice providers across commercial and not-for-profit sectors, including Citizens Advice, Money Advice Trust and StepChange Debt Charity.

 

The MPs’ EDM says: “In view of Credit Awareness Week 2017, which runs from 27 to 31 March 2017, (the EDM) calls on government departments, local authorities and other public sector creditors to adopt the SFS for in-house debt management and collections and for operations contracted out through the government’s Debt Market Integrator programme.”

 

Kamala Panday, organiser of Credit Awareness Week, run in association with Experian, said: “We have a number of campaigns to unveil during the week which are all focused around empowering people to improve their financial futures. The EDM was aimed at gaining more awareness of the benefits of the Standard Financial Statement affordability measure, and encouraging wider support for it by both the public and private sectors.

 

“The week will also unveil the findings of a YouGov national survey of consumer understanding of credit scores where we have worked with both the Consumer Finance Association and Experian. We will also be running a campaign with Registry Trust focused on encouraging debtor rehabilitation through a new approach to dealing with CCJs”.

 

Sheila Wheeler, director of UK debt advice at the Money Advice Service (MAS), said: “A single framework will have positive benefits, ensuring a smoother transition for people between organisations and the savings category will, help people build their financial resilience as they repay their debts.”

 

Joanna Elson, chief executive of the Money Advice Trust, the charity that runs National Debtline, hopes more organisations such as local authorities, government departments and other public sector creditors will use the SFS.

 

John Fairhurst, policy and external affairs director at PayPlan, said the organisation is pleased to be one of the first involved in the important initiative.

 

Francis McGee, director of external affairs at StepChange Debt Charity, said: “Widespread recognition of this standard budget as a fair assessment of people’s situation could bring better and more consistent treatment by all kinds of creditor of people in financial difficulty.”

 

MAS has this month also launched a tool to help people on Universal Credit benefits to budget.

 

The Online Money Manager is a free, interactive tool offering personalised advice on how to budget while on Universal Credit.

 

MAS, which has worked with the Department for Work and Pensions on the tool, said this structure makes the transition much easier for claimants and means there is always an incentive to work.

 

Caroline Rookes, chief executive of MAS, said: “They will be able to find personalised information about bank accounts, help with setting up direct payments to landlords, budgeting and saving money on regular bills, as well as where to go for additional support if they are struggling with financial commitments.

 

The tool will also signpost users to further support, such as advanced payments and free debt advice.

Share on Twitter Linkedin black
Add New Comment

YOU MIGHT ALSO LIKE


“It's time for us to address gender diversity”

With launch of a initiative, Women in Credit, Credit Strategy is tackling the gender diversity issue in credit across multiple sectors. Kicking off with an awards programme for women who’ve made outstanding contributions to their profession, Women in Credit will in time promote mentoring and networking groups

LATEST IN ANALYSIS


The CS Interview

The patriot

The patriot

Features

Ahead of the curve: Five reasons why Intelligent Environments secured the Best Collections Technology Award
Share on TwitterLinkedin black

Ahead of the curve: Five reasons why Intelligent Environments secured the Best Collections Technology Award

Opinion

“Public awareness has reached a crescendo”
Share on TwitterLinkedin black

“Public awareness has reached a crescendo”

Bank NPL analysis

Banks continue purge of bad debt from balance sheets

Banks continue purge of bad debt from balance sheets

Events

Credit Week 2018


Parliamentary Reception


CDSP European NPL


C-Suite Dinners

ENJOY READING?

Credit Strategy
LinkedIn page

Did you find our website useful?

Thank you for your input

Thank you for your feedback

creditstrategy.co.uk – an online news and information service for the UK’s commercial and consumer credit industry. creditstrategy.co.uk is published by Shard Financial Media Limited, registered in England & Wales as 5481132, Axe & Bottle Court, 70 Newcomen St, London, SE1 1YT. All rights reserved. Credit Strategy is committed to diversity in the workplace.
@ Copyright Shard Media Group