WiredGov Newswire (news from other organisations)
Citizens Advice responds to a new scheme to help people in debt
Yesterday the government has announced a new ‘breathing space’ scheme which will protect people in debt for 60 days from interest, fees, charges and enforcement, as well as providing statutory protections from creditors for people who have plans to repay their debts.
Last year, Citizens Advice helped more than 330,000 people with over 910,000 debt issues. We also assisted 580,000 people with over 1,375,000 problems with their benefits.
But the charity is concerned thousands of people with debts and deductions under Universal Credit will miss out on support through this scheme initially.
Figures published by the Department of Work and Pensions show:
- 57% of people who claim Universal Credit experience deductions
- 60% of people who make a new UC claim take on an Advanced Payment - this is the most common cause of deductions from UC
- 570,000 of the 2 million people claiming UC are repaying Tax Credit overpayments
- £1 in every £10 awarded in Universal Credit is deducted to repay debts and costs.
Gillian Guy, Chief Executive of Citizens Advice, said:
“After years of calling for more support for people in debt, we’re pleased to see the government take action to protect people from action by creditors.
“This new scheme will help people struggling with debt keep a roof over their heads and food on the table while they pay back what they owe. This will also offer crucial respite from aggressive bailiffs.
“However the scheme won’t cover everyone straight away. We’re concerned thousands of people with debts and deductions under Universal Credit are going to miss out on this support initially.
“With more people likely to seek debt advice as a result of this scheme, the government also needs to ensure specialist debt advice services are adequately funded.”
Notes to editors
- Citizens Advice includes the national charity; the network of independent local Citizens Advice charities across England and Wales; the Citizens Advice consumer service; and the Witness Service.
- Citizens Advice is the statutory consumer advocate for energy and post. We provide supplier performance information to consumers and policy analysis to decision makers.
- The Citizens Advice Witness Service provides free, independent support for prosecution and defence witnesses in every criminal court in England and Wales.
- Citizens Advice offers Pension Wise services at 500 locations in England and Wales.
- Citizens Advice’s services are free, independent, confidential and impartial, and available to all regardless of race, gender, disability, sexual orientation, religion, age or nationality.
- To get advice online or find your local Citizens Advice, visit citizensadvice.org.uk
- For consumer advice, call the Citizens Advice consumer service on 03454 04 05 06 or 03454 04 05 05 to talk in Welsh.
- We helped 2.6 million people face to face, by phone, email and webchat in 2017-18. For service statistics see our monthly publication Advice trends.
- Citizens Advice staff are supported by over 23,000 trained volunteers, working at over 2,500 locations in England and Wales.
Latest News from
WiredGov Newswire (news from other organisations)
Wales Audit Office - Integrated Care Fund not yet realising its full potential18/07/2019 14:40:00
Better evidence needed about how the fund improves outcomes for service users, says Auditor General
NHS Confederation - Paying for Social Care in Wales18/07/2019 13:40:00
Nesta Lloyd-Jones, Interim Director of the Welsh NHS Confederation responded to the update provided by the Welsh Government’s Minister for Health and Social Care on the Inter-Ministerial Group’s work on Paying for Social Care
LGA opens bids for Housing Advisers Programme to tackle housing crisis18/07/2019 12:40:00
The Local Government Association is launching its third year of the Housing Advisers Programme, an innovative scheme to help councils overcome housing challenges in their local areas, with bids invited from today.
Unicef - Unwanted, exploited and abused: tens of thousands of children in Al-Hol camp and several parts of Syria in limbo amid dire humanitarian needs18/07/2019 11:40:00
Unicef calls for improved humanitarian access and protection of children including re-integration into local communities and safe return to home countries
CIPD - Jobs boom loses momentum as pay growth gains speed18/07/2019 10:40:00
The CIPD responds to the official labour market statistics for the period March – June 2019 published by the Office for National Statistics (ONS)
LGA responds to DFE consultation on transparency in local authority-run schools18/07/2019 09:40:00
Cllr Anntoinette Bramble, Chair of the Local Government Association’s Children and Young People Board, responded to the launch of a consultation to improve transparency around local authority-run schools and to apply academy accountability
UK Space Agency: Embracing the new Space Age17/07/2019 16:10:00
Science Minister Chris Skidmore yesterday made a speech about the strength of the UK space industry, 50 years on from the launch of the Apollo 11 mission.
TUC: Devolution can offer an opportunity as industrial change takes effect17/07/2019 15:37:00
New report considers lessons for UK from industrial transformation in Bilbao, Eindhoven and Iceland. Communities must be in control of change resulting from automation and decarbonising the economy, says TUC.
TUC: Industrial change can benefit communities when workers’ voices are involved17/07/2019 14:37:00
A report published recently (Monday) by the TUC, based on research conducted by the New Economics Foundation, looks at successful models for industrial transformation at local level.