StepChange Debt Charity comments on latest Bank of England consumer credit data and FCA creditworthiness rules

StepChange Debt Charity comments on latest Bank of England consumer credit data and FCA creditworthiness rules. Peter Tutton, Head of Policy at StepChange Debt Charity said: “Whilst the growth in consumer credit recently stabilised, households are still at risk of being tipped into severe problem debt. We estimated 9 million people are already using credit just to make ends meet, as the recent ONS report showed the poorest 10% of households spent two-and-a-half times their disposable income. Therefore helping the households living on a financial knife must be a priority for public policy.

“With credit card borrowing growing fastest and the FCA’s proposals for toughening affordability assessments released today1, we are looking for a clear statement from the regulator that credit markets, and credit cards in particular, must grow in a sustainable way and lending practices focus on preventing people from falling into persistent debt.”