A gathering of key UK banks and financial institutions is scheduled next month to discuss strategies in combatting economic abuse. Lucy Rigby, the Economic Secretary to the Treasury, has extended invitations to 20 organizations to convene at the Treasury and address the importance of raising awareness about this issue. The focus will be on implementing supportive mechanisms to empower victims to take back control of their finances.
Economic abuse involves the manipulation or exploitation of an individual’s financial assets by another person. Tactics may include restricting access to money, incurring debt in their name, and monitoring their expenditures. Recent statistics from Surviving Economic Abuse reveal that 4.2 million women in the UK encountered economic abuse from a current or former partner in the past year.
Among the prominent participants expected at the Treasury meeting are Barclays, HSBC, Nationwide, NatWest, Santander, and the Financial Conduct Authority. Lucy Rigby KC MP, the Economic Secretary to the Treasury, emphasized the detrimental impact of economic abuse on individuals’ lives and stressed the importance of industry efforts to combat this pervasive issue.
During a visit to Lloyds Banking Group, Ms. Rigby observed the institution’s proactive approach in addressing economic abuse. Lloyds has collaborated with Surviving Economic Abuse (SEA) to establish a dedicated Domestic and Financial Abuse team to assist customers affected by economic abuse. One survivor, Natalie, shared her journey of regaining financial autonomy with the support of SEA and Lloyds’ specialized team.
The government acknowledges the progress made across industries in supporting victims of economic abuse. Measures such as facilitating access to new bank accounts with non-geographic sort codes and participating in the Safe Spaces program demonstrate the commitment to providing confidential support for survivors of domestic abuse.
Additionally, an online tool has been developed to aid call handlers at charities and businesses in identifying and addressing instances of domestic economic abuse. Sam Smethers, CEO of Surviving Economic Abuse, commended the collaborative efforts between banks and survivors and urged the financial services sector to enhance responses to combat economic abuse effectively.
The upcoming meeting, organized by the Economic Secretary to the Treasury, aims to further discussions on combating economic abuse and includes participation from various firms and organizations.
