10
TAKING THE LONG VIEW.
A new approach to funding debt advice, with Chris May,
Debt Advice Manager at the Money Advice Service.
It is one of the most pressing issues facing
any provider of debt advisory services - and
for most agencies securing long-term, future
funding is an on-going concern. So the
introduction of a new three-year funding arrangement
beginning in Autumn this year has been warmly welcomed.
Announced by the Money Advice Service at the end of
2013, the long-term model will give their six major partners
(who manage 225 debt advice agencies across England
and Wales) the opportunity to seek guaranteed income
over 36 – instead of the usual 12 – months.
At the same time the partners involved - Citizens Advice,
benefits to customers, debt advisors and the industry as a
whole. We predict that moving from an annual to a threeyear plan will give partners greater security and stability.
We also hope that the new arrangement will ensure customers
receive the tailored support they expect and enable debt
advisors to invest in longer-term planning and training,
contributing to a more cost-effective approach overall.
“In the past, partners have struggled with the short-term
nature of funding. It makes it difficult to ensure continuity
and there have even been instances where staff members
have been issued with redundancy notices while they
waited for new funding to be approved, something any
organisation would seek to avoid.”
Capitalise, Community Finance Solutions, Greater
Merseyside Money Advice Partnership, Bristol Debt Advice
Centre and East Midlands Money Advice – will be asked
to demonstrate how they will deliver services, in a bid
to maintain standards and promote efficiency.
Launching in October 2014, the new agreements will run
until the end of September 2017 and could become a model
for future working. Chris May, Debt Advice Manager at the
Money Advice Service, explains how the scheme will work
in practice and highlights potential benefits for the wider
debt advisory industry.
He says: “Three-year funding represents a change for all of
our partners and one which we hope will bring immediate
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UKAR ARENA WINTER 2013
He adds: “For us the move is significant. The Service took
over management of funding from the government in April
2012 and in the first year our partners helped 58 per cent
more people to get their finances back on track. They’re
on target to match that by the end of this financial year so
things are progressing well but the new arrangement also
offers a chance to review and improve all of our working.
“For the rest of this year we’re inviting our lead partners to
demonstrate how they can deliver efficient services, in line
with our wider objectives, as part of their bid for funding.
We have already visited 120 out of the 225 Debt Advice
Centres so we have seen for ourselves the best practice
that exists and we want to help agencies build on that.