Project Activity Update

6 November 2019

We are delighted to first off announce that we have been successful in our fit and proper assessment by DCMS and the National Lottery Community Fund and are set to receive our funding in November.

Financial Inclusion Data Sharing Review

Earlier this year, Fair4All Finance was commissioned by the Financial Inclusion Policy Forum to review the role of credit data in the affordable credit market and to assess whether new data sources could improve providers’ ability to make appropriate lending decisions for individuals in financially vulnerable circumstances.  We have published a summary of our findings here: Financial Inclusion Data Sharing Review 

Scaling affordable credit provision

We are finalising how we can most appropriately support the five affordable credit providers participating in our pilot programme to scale up their operations. We expect to be able to make decisions about some early commitments to these organisations in November.

We will apply lessons from this pilot to our future approach to managing our fund, and use the insights gained to design a target operating model for what best practice could look like in affordable credit provision.

Developing a Theory of Change for the Affordable Credit Sector

We now have a robust Theory of Change for the affordable credit sector which identifies the key opportunities where the sector can drive impact. We are in the process of consulting on this version with our partners and stakeholders.

The final phase of this project will be engagement with our target consumers to ensure that the consumer voice is strong and guides all our work.

Externalities of high-cost credit research

We are undertaking research to determine the externalities of high-cost credit – quantifying its cost to society based on health and wellbeing economics and demonstrating the value of affordable alternatives.

A feasibility study by Pro Bono Economics identified a clearly established link between problem debt and poor health outcomes but found little existing research on the link with high-cost credit. We are exploring options of how we can facilitate further research or start to measure this ourselves.

Good financially inclusive employer programme

We are developing a programme to improve financial inclusion and wellbeing in the workplace. Our ambition is to develop standards and guidance for employers so that employees have the financial ability to access and stay in employment, and have access to the systems and processes which support their financial wellbeing throughout their employment.

This project will be undertaken with the Inclusive Economy Partnership and is being developed alongside the Money and Pensions Service’s National Strategy for Financial Wellbeing.