Another win for domestic abuse survivors in debt

Less than two weeks after the government announced the scrapping of the fee for 'persons at risk of violence' (PARV) orders – following a campaign by us, our customers and partner organisations – there’s more good news for domestic and economic abuse survivors facing financial hardship.

The Treasury has revealed new plans to help survivors rebuild their credit scores, tackling one of the lasting financial scars left by economic abuse.

Giving survivors a fair chance to rebuild

For too long, perpetrators have used money as a weapon – taking out loans, credit cards or other financial products in their partner’s name, then leaving them to deal with the consequences. It’s a form of abuse that can destroy a person’s financial future, making it almost impossible to access credit, rent a home or even set up basic utilities.

Now, under the Treasury’s new financial inclusion strategy, credit reference agencies including Experian, Equifax and TransUnion will review how they can rescore victims’ credit ratings to reflect their true creditworthiness – not the debt and damage caused by their abusers.

Charities have welcomed the move as a vital step towards giving survivors back control over their finances. Sam Smethers, chief executive of Surviving Economic Abuse, described the strategy as:

“a golden opportunity to help survivors rebuild their lives by restoring their credit scores… so that credit reports reflect victim-survivors’ creditworthiness, not the economic abuse they have experienced.”

Tackling deep-rooted financial inequality

This new initiative forms part of a wider government drive to boost financial inclusion and help vulnerable people build resilience. According to recent figures, more than 11.5 million people in the UK have less than £100 in savings, leaving them exposed to financial shocks like boiler breakdowns or illness.

For survivors of abuse, those risks are even greater. Rebuilding life after leaving an abuser often means starting again from scratch – sometimes without a home, income or savings. A poor credit rating can make that already daunting task even harder.

Progress through persistence

At Money Wellness, we’ve seen first-hand the devastating impact economic abuse can have – and how vital fair financial systems are in helping survivors recover. That’s why we fought hard for survivors to be able to access insolvency solutions without the risk of revealing their address to abusive ex partners.

This latest announcement is another major step forward. Together, these changes recognise what we’ve long argued: financial justice is essential for recovery.

Still more to do

While these reforms are hugely welcome, we’re still committed to pushing for further progress. Although scrapping the PARV order fee is a great first step in making the insolvency process fairer for survivors of domestic abuse, the application process itself is problematic. This is because survivors are required to submit an application form, a witness statement and supporting evidence – forcing them to recall harrowing details of their past abuse.

With this in mind, we’ll continue pushing for the insolvency register to be made private, so that PARV orders are no longer necessary and no one has to take extra steps or relive trauma to achieve financial security and stay safe.