| Link(s): | Summary of Financial Inclusion Policy Forum meeting April 2021 – GOV.UK https://www.gov.uk/government/publications/summary-of-financial-inclusion-policy-forum-meeting-april-2021 |
Context
The Financial Inclusion Policy Forum brings together leaders from industry, the third sector, ministers and the Regulator, to ensure collaboration across government and with the sector on financial inclusion. The forum is co-chaired by the Economic Secretary to the Treasury and the Minister for Pensions and Financial Inclusion, and meets bi-annually. HM Treasury has just published the summary of the last meeting, held in April.
Key points to note
Key themes of discussion included:
- Under the first agenda item, the Government, the Financial Conduct Authority (FCA) and the Money and Pensions Service (MaPS) provided updates on the impact of the pandemic on financial inclusion. The FCA drew on findings from their Financial Lives Survey; MaPS presented the trends they have seen in their money guidance services and their plans to continue supporting individuals over the coming months.
- Forum members agreed that the pandemic has had a differentiated impact on consumers which is still unfolding: some have managed to save more as a result of falling expenditures, whilst the financial situation of others has deteriorated. Pre-existing financial inclusion and resilience before the pandemic were identified as key drivers of this divide.
- Under the second agenda item, members discussed solutions to improve access to contents insurance for people on low incomes. These include:
- promoting the use of advanced data and technology to capture granularity in individual experiences;
- helping low-income tenants get contents insurance for their homes; and
- encouraging social landlords and managing agencies to offer contents insurance more proactively.
- The Economic Secretary to the Treasury announced the establishment of a working group, led by the Association of British Insurers, to consider ways to promote access to contents insurance.
Next actions
None – for information only