G8 to discuss world debt while Scots lack basic financial understanding.

Released on = June 13, 2005, 8:46 am

Press Release Author = Richard Green

Industry = Government

Press Release Summary = Scottish minister moves to reduce personal debt by calling for improved financial understanding and increased access to bank accounts, savings and insurance services.

Press Release Body = Last week saw the launch of Scotland’s Financial Inclusion Forum, and with it requests were issued for local authorities, banks, and other financial institutions, to work together to generate and share ideas to help people
take control of their own finances. Those attending the forum were asked to help ensure, “that poverty is not exacerbated by lack of access to financial services”.

Deputy community minister, Johann Lamont, said: "It is simply unacceptable that in Scotland there are areas where as many as one in five people have little or no experience of using the basic financial services so many of us take for granted such
as bank accounts and insurance.“ "I expect banks, the local authorities, housing associations, community planning
partners, credit unions and other key players to work together to provide access to bank accounts and affordable credit; to make saving possible and help people understand and manage their everyday finances and ensure that information and advice
are available when people get into debt." The new initiative is intended to provide £10m in support over 2 years in an effort
to help the 10 local authorities with the worst problems to overcome the concerns that prevent as many as one in five people in some localities opening a bank account or buying insurance.

With the amount of help already in the public arena from the likes of Which? ( http://www.which.net/ ), and the growth in financial comparison web sites like Moneynet ( http://www.moneynet.co.uk ). This move should hopefully go some way to overcoming the fear and financial inertia experienced by many people over their own personal finance.

Additional reference material from the Scottish Executive (
http://www.scotland.gov.uk/News/Releases/2005/06/06103036 )

Web Site = http://www.moneynet.co.uk

Contact Details = Moneynet
Sussex House
8-10 Homesdale Road
Bromley
Kent
BR2 9LZ