Leading banks and financial institutions in the UK are scheduled to meet with government officials next month to outline their efforts in combatting economic abuse.
Lucy Rigby, the Economic Secretary to the Treasury, has extended invitations to 20 organizations to convene at the Treasury for discussions on increasing awareness about economic abuse.
The meeting will also address the implementation of support mechanisms to assist victim-survivors in reclaiming control over their finances.
Economic abuse involves the manipulation or exploitation of an individual’s financial resources by another party.
Typical examples of economic abuse include restricting access to funds, accruing debt in the victim’s name, and monitoring their expenditures.
Recent data from Surviving Economic Abuse reveals that 4.2 million women in the UK encountered economic abuse from a current or former partner in the past year.
Among the companies set to participate in the Treasury gathering are Barclays, HSBC, Nationwide, NatWest, Santander, and the Financial Conduct Authority.
Economic Secretary to the Treasury, Lucy Rigby KC MP, emphasized the destructive impact of economic abuse, stating, “By focusing on proactive measures that firms can take to combat this pervasive issue, we can make a positive difference in the lives of economic abuse victims.”
Ms. Rigby’s visit to Lloyds Banking Group showcased the bank’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 provide specialized support to affected customers.
One survivor, Natalie, shared her experience of regaining financial autonomy with the guidance of SEA, which directed her to Lloyds’ specialized team.
Natalie recounted the challenges of resolving coerced debts and credit issues left by her abuser, underscoring the long-lasting effects of economic abuse.
The government highlighted the progress made in the industry, such as facilitating access to new bank accounts with non-geographic sort codes to safeguard victims’ anonymity.
Furthermore, many firms participate in the Safe Spaces initiative, providing confidential support for domestic abuse survivors at designated locations like bank branches.
An online tool has been developed by the government to aid call handlers in identifying and addressing instances of domestic economic abuse in charities and businesses.
Sam