Thousands of people who are in a mental health crisis and struggling with serious debt will be given ‘breathing space’ from further interest, charges and enforcement action following a campaign victory by the Money and Mental Health Policy Institute.
Amendments to the Financial Guidance and Claims Bill are set to ensure those in serious debt who are in hospital or under the care of a community crisis team WON’T have to attend a debt advice meeting in order to be eligible for a ‘breathing space’ respite period when it is introduced in due course.
This follows a sustained campaign led by the Money and Mental Health Policy Institute, which was set up by MoneySavingExpert founder Martin Lewis. The amendments were passed with the help of three MPs from different parties – Labour’s Luciana Berger, Liberal Democrat Norman Lamb and the Conservatives’ Johnny Mercer.
The institute says those in mental health crises may struggle to seek debt advice but should not be excluded from ‘breathing space’ as a result. It estimates up to 23,000 people a year experience problem debt while in hospital for a mental health crisis.
Some 23 organisations, including Mind, Rethink Mental Illness, StepChange and Carers UK supported the campaign, as did more than 80 MPs from across Parliament.
You can read the full story on the MoneySavingExpert website: ‘Breathing space’ victory.
