A major Independent Review of the Funding of Debt Advice, led by Peter Wyman, reached a key milestone this week with the launch of a ‘Call for Evidence’.
The Review, set up in response to a challenging and complex debt advice funding landscape will make recommendations for an appropriate funding framework for the future, and look at issues that affect some of the most financially vulnerable people in society, including:
- One in six adults in the UK at risk of crisis debt, yet less than one in five seek advice
- Around 8 million people regularly miss bill re-payments or feel overwhelmed by debt
- A worrying 10% of the population could be suffering in silence with debt
Launching the Call for Evidence, Peter Wyman said: “There is a widespread view that funding arrangements for debt advice need reconsideration. I hope this Call for Evidence will encourage relevant parties to share ideas and data on how debt advice is currently funded and operated. This insight will help build a comprehensive picture of what is happening right now and what developments could be made in the future.”
Sheila Wheeler, Director of Debt Advice at the Money Advice Service said: “A collaborative approach is needed to ensure we meet issues of over-indebtedness head on. Debt and money worries are often seen as a taboo subject. It is time to get people talking about the size of this challenge and how more advice can best be offered to prevent unmanageable outcomes.”
The review was initiated by the Debt Advice Steering Group (an independent cross-sector group including the Money Advice Service, Advice UK, Barclays, UK Finance, Money Advice Trust, RBS, Finance and Leasing Association, Citizens Advice and StepChange), and will report back mid-2018. Interested parties can contribute to the Review via email debtadvicefunding@moneyadviceservice.org.uk before midnight on 8 December 2017.
The Money Advice Liaison Group (MALG) Conference on 27 November 2017 will look at the future of money advice and bring together a wide range of stakeholders to discuss and debate the big challenges of the next 10 years and beyond.