Minister expands debt advice service

People in debt are to benefit from an expanded National Debtline service, while consumer minister Gerry Sutcliffe urges organisations to bid for a share of £45 million to fund free, face-to-face debt advice.

Mr Sutcliffe has opened new premises for National Debtline after the service employed 19 new staff, bringing the total number of full time debt advisers to 64.

National Debtline helps 60,000 people annually, and the government has upped its funding to £1.5 million this year, and will rise to £2 million in 2007/8.

"As well as helping to fund new premises, this money has enabled National Debtline to recruit and train more advisors, and in turn help more people find a way out of debt," Mr Sutcliffe said.

He added that the government is asking charities and other non-profit making organisations to bid for a share of £45 million to fund a huge expansion of free face-to-face debt advice in England and Wales.

Taken from the Treasury's Financial Inclusion Fund, the money will help recruit and train hundreds of new debt advisers to help people rectify their debt problems.
The money will be particularly targeted at areas and social groups in England and Wales who are financially disadvantaged.

Chief executive of National Debtline, Paul Mullins, said: "The security provided by the public and private sector will allow us to achieve a near four-fold increase in capacity by the end of 2007 and will help to ensure that National Debtline makes a major contribution towards helping those people who find themselves with unmanageable debts."

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