CAP has responded to HM Treasury’s Financial Inclusion Strategy consultation, which explores how to improve access to affordable financial services and support households in vulnerable financial circumstances.
Key points
- CAP has identified deficit budgets as a major barrier to the achievement of this strategy.
- CAP sees financial education as valuable and an essential pillar of the strategy, but not the silver bullet, particularly for those with a deficit budget.
- CAP wishes to highlight the barriers people face to accessing the support that is available, and the need for this to be acknowledged as part of the strategy.
- Funding for the sector is a challenge for the ongoing continuation of the free community-based support that is currently available.
- CAP feels the poverty premium needs to be further considered and addressed within this strategy.
- CAP recommends the introduction of a Fair Banking Act.
- To fully cover the challenges that need to be considered within the context of the pillars, CAP encourages the cross-cutting themes to be reframed as: vulnerability, accessibility, and poverty.
- CAP encourages the further development of the strategy to consider the digital future and how this strategy fits into this changing landscape.
- CAP suggests this strategy becomes a cross-governmental strategy that is considered and outworked with other government departments, devolved administrations, and the wider existing charity support sector.
- CAP waits with anticipation for outcome-based metrics and clarity on accountability to be set out in the strategy.
- As it currently stands, CAP would say that the strategy does not make sufficient use of legislative or regulatory tools to guarantee inclusion.
- CAP recommends that the voices of people with firsthand experience be sought and considered as the next stage of the strategy development.
- CAP would be happy to provide evidence to the committee and support in the further development of this strategy.
