Major Review of Debt Advice Funding Underway in the UK

Major Review of Debt Advice Funding Underway in the UK

  • 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

A major Independent Review of the Funding of Debt Advice, led by Peter Wyman, reached a key milestone today 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.

Launching the Call for Evidence today, 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: “Over indebtedness* in the UK has reached excessive societal proportions. A collaborative approach is needed to ensure we meet these issues 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 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.

ENDS

For more information please contact: Rosanna Head / 020 7947 0593 / 07966 964 991 / rosanna.head@moneyadviceservice.org.uk

Click here for The Independent Review of the Funding of Debt Advice in England, Wales, Scotland and Northern Ireland Call for Evidence.

NOTES TO EDITORS

1. Peter Wyman, CBE is an experienced Chairman and Non-Executive Director with a current portfolio of appointments in the private, public and third sectors which includes being Chairman of the Care Quality Commission and of Sir Richard Sutton Limited. He was previously a senior partner in PwC and President of the Institute of Chartered Accountants in England and Wales.

Peter was at PwC for 42 years, 32 as a partner. On qualifying as a chartered accountant, he specialised in tax, acting for clients ranging from large multi-national corporations to family businesses and their owners before becoming head of the tax practice and a member of the Firm’s Board. He worked for the then Deputy Prime Minister, Michael Heseltine, on the integration of PAYE and National Insurance. He was a co-founder of the Firm’s Corporate Finance Division, leading the tax and M&A units. Finally, he became responsible for PwC’s Government Relations, Public Policy and Regulatory Matters, first for the UK and ultimately for PwC globally when he also became a member of the PwC Global Executive.

2. The Debt Advice Steering Group is an independent cross-sector group whose mission is to coordinate and improve the debt advice sector. MAS provides the secretariat for the Group and its core membership comes from the following organisations:

  • Advice UK
  • Barclays
  • UK Finance
  • HM Treasury
  • Citizens Advice Northern Ireland
  • Money Advice Scotland
  • National Advice Network Wales.
  • Citizens Advice
  • Finance and Leasing Association
  • Money Advice Trust
  • RBS
  • StepChange

3. The Independent Review of the Funding of Debt Advice in England, Wales, Scotland and Northern Ireland will look at issues affecting some of the most vulnerable people in society who are struggling with money worries. The review is widely supported across the debt advice sector including debt advice providers, existing funders and the Financial Conduct Authority. The review invites input from a wide range of parties; debt advice providers, creditors, and funders of debt advice, to share ideas and views about what should be done in the future to address the challenges identified in Peter Wyman’s terms of reference.

4. About the Money Advice Service: The Money Advice Service is an independent organisation. It gives free, unbiased money guidance online at moneyadviceservice.org.uk or via free phone on 0800 138 7777. It also manages the delivery of free debt advice across the UK, which is provided through a variety of partners. The Service was set up by Government and is paid for by a statutory levy on the financial services industry, raised through the Financial Conduct Authority. Its statutory objectives are to enhance the understanding and knowledge of members of the public about financial matters (including the UK financial system); and to enhance the ability of members of the public to manage their own financial affairs.

For more information, please see press release ‘Peter Wyman to head independent review of debt advice funding’ on the Money Advice Website.

This release is issued by Money Advice Service on behalf of Peter Wyman.

The Money Advice Service is providing the secretariat for the review and looks forward to supporting the Call for Evidence.

Click here for The Independent Review of the Funding of Debt Advice in England, Wales, Scotland and Northern Ireland Call for Evidence.

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