New industry code launches to tackle financial abuse

The new Financial Abuse Code of Practice aims to bring increased awareness and better understanding of what abuse looks like, with firms pledging to raise awareness, train colleagues and introduce other initiatives to help victims.

The Code considers financial abuse scenarios including those within the context of partner relationships and domestic abuse but also the older population as a particularly relevant demographic at risk.

The Code of Practice has been developed by UK Finance with input from representatives from charities, victim support groups and government departments.

Over the next 12 months, eleven of the largest high street firms have committed to implementing the voluntary Code with more firms expected to follow.

As the Code is rolled out, UK Finance hopes that victims will be able to have more informed conversations with their providers.

Eric Leenders, managing director of Personal Finance at UK Finance, said: “Financial abuse does not discriminate – it can happen to anyone and whether you or a person you know is a victim of financial abuse, taking those first steps to seek help is very brave. The financial services industry can play a key role in helping combat financial abuse, offering support to victims to help them regain control of their money.

"This new voluntary Code provides further guidance for banks and building societies and, once rolled-out, will help raise awareness amongst staff so that victims of financial abuse can be confident that they will be treated sympathetically and positively in these particularly difficult circumstances.”