Plans announced to help the homeless open bank accounts

People experiencing homelessness will soon find it easier to take the first vital steps towards rebuilding their lives, thanks to a new pilot scheme that will allow them to open bank accounts without needing a fixed address.

The initiative, launched as part of the government’s new financial inclusion strategy, will see the UK’s five biggest banks - Lloyds, NatWest, Barclays, Nationwide and Santander - work together to remove one of the biggest barriers homeless people face when trying to get back on their feet.

Breaking the cycle

Not having a bank account can make it almost impossible to move forward. Without one, people can struggle to get paid wages, claim benefits or secure accommodation. It’s a vicious circle that traps thousands in financial exclusion.

Under the new scheme, the major banks will waive the requirement for a fixed address, making it easier for people experiencing homelessness to open a basic account.

The project will run in partnership with Shelter, the homelessness charity. Shelter will verify individuals’ details through its database and accompany them to in-person meetings at local branches.

This model builds on the success of an earlier partnership with HSBC, which has seen 7,000 accounts opened for people experiencing homelessness since 2019.

A step towards financial inclusion for all

Announcing the new strategy, City minister Lucy Rigby said:

“This plan is about opening doors – helping people experiencing homelessness into work, helping survivors of abuse rebuild their credit and helping families save for a rainy day.

"No one should be locked out of the chance to build a better future.”

Part of a wider plan

The government’s new financial inclusion strategy aims to make financial services work for everyone - not just those already comfortably within the system.

Alongside the new banking pilot, the strategy also includes:

• plans to help domestic abuse survivors rebuild their credit scores
• support for families with no savings
• the rollout of financial education in all primary schools across the UK

Together, these measures represent a much-needed push towards greater financial equality and security.