Treasury Select Committee report places household finances higher on the agenda

The Treasury Select Committee has today published the report of its inquiry into household finances.

Joanna Elson OBE, chief executive of the Money Advice Trust, the charity that runs National Debtline, commented: “The Treasury Select Committee has done a good job of putting the issue of household finances high on the agenda in Westminster, where it belongs.

“This report contains welcome calls to action across a range of really important issues affecting households in financial difficulty – including the need to increase the supply of free debt advice, improve debt collection practices across the public sector and expand access to affordable credit.

“The Committee is right to highlight the worrying gap between supply and demand for free debt advice – and with demand only set to rise, we are pleased to see a strong recommendation for the government and Single Financial Guidance Body to consider how this challenge can be met.

“The report’s recommendations on improving public sector debt collection practices, making the forthcoming Breathing Space scheme more effective and supporting the credit union sector are particularly welcome. Taken together with the FCA’s work on consumer credit, these actions would make a significant contribution to the fight against problem debt in the UK.”