Report Publication – ‘Credit Where Credit’s Due?’

High Interest Loans - May 2016 (1)The first of the projects on What Works in Tackling Poverty that we have been supporting has now been completed.  The report by the Young Foundation, ‘Credit Where Credit’s Due?’, looked at the experience of high interest credit users in Wales.

We launched the report in Cardiff on the 24th of May at an event chaired by Baroness Thornton which was attended by a wide range of policy makers and practitioners.  This was followed by an event in Westminster on the 25th May with keynote speaker Stephen Kinnock MP which was attended by MP’s, treasury officials, representatives from the banking industry and the Consumer Finance Association which helped to ensure that we disseminate the results to policy makers and key stakeholders in England.

One of the key themes from our ongoing poverty research is the lack of evidence from those who are experiencing poverty in Wales. We are very pleased that this report addressed this evidence gap in relation to high interest credit, as the study is an in depth exploration of the experiences and motivations of users of high interest credit users in Wales.

The team undertook both quantitative and qualitative research with high interest credit users examining why they opt for this form of credit as opposed to more affordable sources of finance including banks and credit unions. The evidence shows that there are a multitude of factors which influence people’s financial decisions and that there is not one simple answer to the issues around high interest credit.

The report therefore offers a series of practical recommendations for further action among a variety of stakeholders. We will be working closely with the Young Foundation, Welsh Government and others to ensure that the findings from the report are acted on. A summary of the report is available here.  We will provide details of the link to the full report when it is available to download.



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