Credit Card firms told to review their approach to persistent debt customers

The Financial Conduct Authority (FCA) has written to credit card firms telling them to review their approach to borrowers who are stuck in persistent debt, where they are paying more in interest, fees and charges than they are paying of their balance.

The FCA require firms to help people who have been caught in a cycle of persistent debt for three years, by proposing and agreeing plans with customers to resolve the situation.

Ahead of firms issuing letters setting out proposals to customers who have been in persistent debt for three years, and to make sure the firms’ approaches to the rules are working in the best interest of consumers, the FCA is outlining a number of areas firms need to review and ensure their approach is in line with expectations.

This includes:

  • a concern that customers may not respond to letters from their credit card provider, advising that they have been in persistent debt for three years. Firms must encourage customers to speak with them to discuss potential repayment arrangements. If customers can’t afford the options proposed by the firm, they must be treated with forbearance and due consideration, for example, by reducing, waiving or cancelling any interest or charges.
  • a concern that firms may cancel or suspend credit cards for everyone in persistent debt, including those willing to engage and come to an agreement. In these circumstances, firms are not allowed to suspend a credit card without having an objectively justifiable reason.

Jonathan Davidson, Executive Director of Supervision for Retail and Authorisations at the FCA, said: ‘Under our rules, firms must help customers to reduce the level of debt they have on their credit card more quickly.

“If a customer cannot afford the firm’s proposals for how to do this, the firm must offer forbearance, potentially including reducing, waiving or cancelling any interest, fees or charges.

‘My advice to consumers is don’t bury your head in the sand. If you can’t afford to meet the repayment schedule that the credit card firm is suggesting, don’t be afraid to tell them. If we find firms are not offering their customers the appropriate level of help, we will not hesitate to take action.

‘If the firms do this right, we estimate that this could save customers up to £1.3bn a year in lower interest charges.’

Gareth Shaw, Head of Money, Which?, said: “Millions of people across the UK are trapped in persistent debt, so it’s right that the regulator is taking steps to encourage banks to help their customers break this cycle.

“It’s crucial that the industry properly engages with all those identified as needing help and offers manageable plans that include reductions, waivers and even the cancellation of charges and interest.

“The effects of living in persistent debt can be devastating, so it’s important that those who are likely to be impacted by the new rules take notice of how these new measures could affect their finances.”

Consumers concerned about persistent credit card debt and/or multiple credit cards they are dealing with, can get free debt advice from a range of support organisations including Granton Information Centre and Money Advice Service.

EIGHT MILLION hours of community payback

Scotland’s communities have benefitted from around 8 million hours of unpaid work carried out by people serving community sentences since 2011.

New figures also show the number of people given supervised bail rather than being remanded in custody increased 26% between 2017-18 and 2018-19.

Unpaid work by people serving community payback orders (CPOs) supports a wide range of local needs including maintaining footpaths and clearing drains, making furniture for foodbanks and schools, work to preserve natural landscapes and redecorating community halls.

Justice Secretary Humza Yousaf said: “While prison is necessary for offenders who pose a significant public safety risk, short-term custodial sentences are an ineffective means of rehabilitation. Imprisonment, including remand, disrupts families and communities, employment and housing – the very factors that deter offending and keep crime down.

“Unpaid work completed by people serving CPOs benefits local projects and helps them to become active and responsible contributors to their community. We recognise that some individuals will require sustained support and we are investing £9.5 million a year more in community justice services compared to 2015-16 as part of more than £100 million funding for justice social work.

“Many people in the justice system have chaotic backgrounds and struggle with addiction and mental health problems – issues that won’t be solved by a short period in prison, where hard-working staff should be focused on the most serious offenders.

“Community sentences, with supervision and other conditions where necessary, add structure and help people make the positive changes needed to tackle the causes of their behaviour.”

Humans of The Walk

THE FIRST Minister and a host of high-profile politicians have pledged to champion everyday walking – after seeing a powerful photography exhibition about its benefits for ordinary Scots.

Nicola Sturgeon was among dozens of MSPs who backed Scotland’s walking charity Paths for All, after viewing the acclaimed Humans of The Walk exhibition at The Scottish Parliament.

Delighted staff of the charity, which aims to create a happier, healthier and greener nation, say they have been blown away with the positive response from Scotland’s national politicians, many of whom penned supportive messages after viewing the uplifting portraits and their accompanying stories.

The First Minister proudly posed for photographs with her pledge, which read: “I will champion walking by encouraging and supporting it – and trying to lead by example.”

Ian Findlay CBE, Chief Officer at Paths for All, was thrilled when invited to exhibit in the Members’ Lobby from January 21-23 after linking up with a collective of female photographers from Edinburgh College of Art with the simple idea of capturing how walking can improve lives.

The resulting series of portraits celebrates the many ways in which walking benefits physical, mental and social health, regardless of age or ability. Its aim was to inspire the public to fall in love with walking and to incorporate it into everyday life.

Ian Findlay said: “It’s been a truly remarkable opportunity to be able to take the exhibition to the Scottish Parliament and share our messages and initiatives with the country’s leaders.

“Humans of the Walk has been received incredibly well and provoked many important conversations around the benefits of walking. We’ve had great discussions with numerous MSPs on the importance of walking and active travel and how it can positively impact not only the physical and mental health of the nation but also the environment.

“The response has been extremely positive and many of the politicians discussed the different ways in which they can help to encourage people in their own constituencies to walk more.

“We are very grateful to Alison Johnstone MSP for sponsoring the exhibition in the Parliament.”

Images captured by the talented young photographers of CollectiveF8 bring to life individual stories of love, strength, friendship and age – all connected by walking. They include a portrait of married couple Karine and Sarah Mather, who shared their story about how getting outdoors helped Karine following her Multiple Sclerosis diagnosis.

Such stories struck a chord with politicians of all parties with dozens of them posing for photos while sharing supportive messages.

Alison Johnstone, MSP for Lothian Scottish Green Party, said: “It’s a privilege hosting an exhibition like Humans of the Walk in Parliament, and even more so working with an organisation like Paths for All who are relentless in their work to share the positive impact and evidence about walking and why it’s so good for all of us. 

“In the face of the climate emergency and the obesity epidemic, walking is a sociable, affordable, health-enhancing way to get about.  We can’t take it for granted though, we need to invest in making walking safe and attractive for all”.

Such was the positive reception that the exhibition has now been invited to go on show at the Scottish Government’s Victoria Quay building in Leith later this month.

Ian Findlay added: “What this proves beyond any doubt is that the simple act of walking on a daily basis strikes a very powerful chord even with the most influential people in our society. We are delighted that Humans of the Walk is helping us spread the message far and wide.”

First launched in May 2019, the exhibition was part of the first Open Streets event in Edinburgh – a ground-breaking initiative which saw large parts of the city centre closed to motorised vehicles.

Paths for All’s aim is to significantly increase the number of people who choose to walk in Scotland, whether it’s walking for leisure or walking to work, school or to the shops.  The charity works to create more opportunities and better environments not just for walking, but also for cycling and other activities to help make Scotland a more active, more prosperous and greener country.

For more information on Paths for All, visit: https://www.pathsforall.org.uk/

Parents more concerned about their children online

More parents than ever feel children’s online use now carries more risks than benefits, according to Ofcom’s latest research into children’s media and online lives.

Ofcom’s Children’s Media Use and Attitudes report 2019 is based on around 3,500 interviews with children and parents. Children’s Media Lives is a qualitative report looking at how children aged eight to 18 think about and use digital media.

Parents and carers are becoming more likely to trust their children with greater digital independence at a younger age. But far fewer believe the benefits of their child being online outweigh the risks than five years ago. And around two million parents now feel the internet does their children more harm than good.

This comes as children are now more likely to see hateful content online. Half of 12-15s who go online had seen hateful content in the last year, up from a third in 2016.

Parents are increasingly concerned about their child seeing something online which might encourage them to harm themselves. Similarly, two gaming-related problems are increasingly concerning parents: the pressure on their child to make in-game purchases of things like ‘loot boxes’, a virtual item containing rewards; and the possibility of their child being bullied via online games.

However, parents are now more likely than in 2018 to speak to their children about staying safe online, and are nearly twice as likely to go online themselves for support and information about keeping their children safe.

Influencers, online activism and girl gamers

Looking at what today’s children are doing online, Ofcom uncovered three big trends over the past year.

18% of 12-15 year olds use social media to support causes and organisations by sharing or commenting on posts, up from 12% in 2018.

  • The ‘Greta effect’. There is increased online social activism among children. Almost a fifth of 12-15s use social media to express support for causes and organisations by sharing or commenting on posts. One in 10 signed petitions on social media.
  • Rise of the ‘vlogger next door’. While high-profile YouTube stars remain popular, children are now increasingly drawn to so-called ‘micro’ or ‘nano’ influencers. These often have fewer followers, but might be local to a child’s area or share a niche interest.
  • Girl gamers on the increase. Almost half of girls aged five to 15 now play games online – up from 39% in 2018. The proportion of boy gamers is unchanged at 71%, but boys spend twice as long playing online each week as girls.

The proportion of 12-15 year olds who have a social media profile on Facebook (69%), Snapchat (68%), Instagram (66%), WhatsApp (62%), YouTube (47%), Pinterest (13%), TikTok (13%) and Twitch (5%).

Social Media use more fragmented

Older children are using a wider range of social media platforms than ever before. WhatsApp in particular has grown in popularity among 12-15 year-olds since last year, despite having a minimum age limit of 16.

WhatsApp is now used by almost two thirds of older children – up from 43% in 2018. For the first time, it rivals Facebook, Snapchat and Instagram as one of the top social media platforms for older children.

Newer platforms are also becoming more popular. Around one in seven older children use TikTok, which enables users to create and upload lip-sync, comedy and talent videos, while one in 20 older children uses Twitch, a live streaming platform for gamers.

Children’s viewing habits are changing radically too. Almost twice as many children watch streaming content than they did five years ago.

In 2019, fewer children watched traditional broadcast TV than streaming content, with a quarter not watching it at all.

But YouTube is as popular as ever, remaining children’s firm favourite for video ahead of Netflix, Amazon Prime, the BBC and ITV.

The age of digital independence

50% of 10 year-olds own a smartphone in 2019, up from 30% in 2015.

When it comes to going online, children are most likely to use a tablet but mobiles are becoming increasingly popular and children are now as likely to use a mobile as they are a laptop.

This move to mobile is being driven by older children, for whom 10 is becoming the age of digital independence. Between age nine and 10, the proportion of children who own a smartphone doubles to 50% – giving them greater digital freedom as they prepare to move to secondary school. By the time they are 15, almost all children have one.

“Today’s children have never known life without the internet, but two million parents now feel the internet causes them more harm than good, said Yih-Choung Teh, Ofcom’s Strategy and Research Group Director.

“So it’s encouraging that parents, carers and teachers are now having more conversations than ever before with children about online safety. Education and stronger regulation will also help children to embrace their digital independence, while protecting them from the risks”.

children-media-use-attitudes-2019-report

Join Strictly couple for Havana Nights

Strictly Come Dancing professional Graziano Di Prima is preparing to dazzle and delight audiences with stunning new dance show Havana Nights which tours the UK in 2020 – including dates in Glasgow and Edinburgh.

The 25-year-old will be joined by fellow Strictly professional and fiancée Giada Lini on this first solo UK tour which opens in Chelmsford on 3 March.

Havana Nights promises an exciting mix of Latin dances with individual performances from Graziano and Giada, as well as entertaining group numbers with their supporting dancers.

After opening in Chelmsford, Havana Nights will tour the UK visiting Stevenage, Milton Keynes, Crawley, Tunbridge Wells, Hayes, Bury St Edmunds, St Albans, Kettering, Leamington Spa, Cambridge, Exmouth, Redruth, Cheltenham, Swindon, Yeovil, High Wycombe, Glasgow, Edinburgh, Whitley Bay, Fleetwood, Warrington, Guildford, Reading, Shrewsbury, Southport, and Lichfield. 

The show will be fantastic and fast paced and is guaranteed to be fresh and innovative with amazing routines to dazzle and wow its audience.

And along with the spectacular sizzling performances on stage, there will also be opportunities for a special pre-show meet and greet with Graziano and Giada.

Graziano Di Prima was born in Sicily and started dancing at the age of six when his mother enrolled him in classes. He is an Italian Latin Champion, as well as representing Belgium at the World Championships, and made the top 24 at the under 21s Latin World Championships.

He went on to spend three years performing with the world-famous Burn the Floor dance company, where he met his future wife 28-year-old Venetian Giada, romantically proposing to her live on stage between performances.

Graziano joined the Strictly team in 2018, partnering DJ Vick Hope through a series of sparkling and high-energy routines. He recently made Strictly history when he performed the first same sex couple dance with fellow professional Johannes Radebe.

Giada is ranked in the top 25 in the world in the Latin-American style. She won the Italian Showdance Championship nine times and represented Italy at the World Showdance Championships, where she was a finalist and won the Show Dance World Cup in 2014. She was also a finalist in Freestyle Latin representing Italy at the World Champions in China in 2013 and 2014.

She worked as a professional Latin American dancer on a high-profile Italian TV show called Amici di Maria De Filippi for three years, and toured Australia, the UK and Japan with Burn the Floor. Giada joined Strictly as a pro dancer in 2018. 

Graziano said: “I’m so excited to be able to bring Havana Nights to the many dance fans we know there are across the UK.

“Giada and I have worked closely together on the choreography and content for the show and we’re really proud of it. Now I can’t wait to visit so many venues around the country, meeting fans and performing all my favourite routines for them live on stage.” 

Website:         www.havananightstour.co.uk

Twitter:           @_HavanaNights

 

HAVANA NIGHTS TOUR 2020 – SCOTTISH DATES

 GLASGOW

Royal Concert Hall

25 March 2020

0141 353 8000

https://www.glasgowconcerthalls.com

ON SALE NOW

 

EDINBURGH

Assembly Rooms

26 March 2020

0131 228 1155

http://www.usherhall.co.uk/

ON SALE NOW

The Great Tapestry of Scotland: Welcome Panel Tour

Visitors and residents across Scotland are being given a unique opportunity to become part of Scotland’s history, heritage and culture for generations to come through The Great Tapestry of Scotland: Welcome Panel Tour.

The programme of events will give people the chance to work with some of the country’s leading textile artists and add a stitch or two to the new welcome panels for the major new national visitor attraction housing the Great Tapestry of Scotland (one of the world’s most significant pieces of modern textile artistry).

The tour will take place across Scotland throughout 2020 at a variety of iconic historic properties, leading cultural venues, care homes and other venues that promote social inclusion in Scotland.

A range of venues for the tour have already been revealed in Aberdeen, Glasgow and the Scottish Borders and more will be confirmed later in the year.

When complete, the new Welcome to Scotland’s Story panels will be permanently displayed at the entrance to the Great Tapestry of Scotland’s £6.7 million purpose built interactive visitor centre, which opens in 2021 in the historic town of Galashiels (in the heart of Scotland’s premier textile region, the Scottish Borders).

Those who contribute a stitch will also be given the chance to have their names recorded in history as a contributor to the Tapestry’s visitor centre.

Recently appointed Great Tapestry of Scotland Centre Director Sandy Maxwell-Forbes said: “Telling the people’s story of Scotland and making this story accessible to everyone has always been at the heart of the Great Tapestry of Scotland, so we’re incredibly excited to be giving those who live in Scotland, and those visitors who love our country so much, an opportunity to stitch their name in Scotland’s history through our new Welcome Panel Tour.

We would like to thank all the venues and event organisers throughout Scotland who are making this this possible.

“In keeping with the Great Tapestry of Scotland’s ethos, it is vital that as many people as possible have an opportunity to contribute to the panels. As part of the tour, we’re taking the Welcome Panels directly to venues, such care homes, to remove some of the barriers that some individuals face to accessing such significant cultural projects. We will add more venues throughout the year.”

Many of the stories told through the Great Tapestry of Scotland, which was completed in 2013, have strong ties to the history, heritage and culture that can be experienced first hand on a visit to Scotland.

Building on this and, continuing the Tapestry’s ethos to tell the people’s story of Scotland, the new Welcome to Scotland’s Story panels will tell some of the true stories linked to the visitor centre’s new home in Scotland’s premier textile region, The Scottish Borders.

The panels will feature a reiver, a shepherd, a monk, a mill worker and a fisher lass. By the time they are complete, it is hoped that over 1,000 different people from across Scotland and beyond will have contributed to them.

The 21st Lady of Traquair, Catherine Maxwell Stuart, who is hosting the Welcome Panel Tour on 9 and 10 May said: “We are looking forward to the Great Tapestry of Scotland having a permanent home in the Scottish Borders where we hope it will draw visitors from far and wide to appreciate this outstanding cultural achievement.

“Over 900 years Traquair has witnessed extraordinary events in Scotland’s history, so we know only too well how important it is to hear Scotland’s stories as told by Scotland’s people. With our own strong heritage of textile and embroideries it is wonderful to see these unique traditions being carried on to the 21st century.

“We are delighted to be part of the Welcome Panel tour with this wonderful team of textile artists giving residents and visitors to Scotland in 2020 an opportunity to part of this story.”

Linda Wigley, Operations Director at Floors Castle, which is hosting the tour on 2 and 3 May 2020, said: “We are thrilled to be hosting the Great Tapestry of Scotland’s Welcome Panel tour.

“It is an incredible opportunity for people visiting Scotland to learn first hand from some of Scotland’s greatest textile artists and to firmly root themselves in Scotland’s history, heritage and culture for generations to come.”

Giles Ingram, Chief Executive of Abbotsford, home of Sir Walter Scott, which will host the panels on Saturday 30 May 2020, said: “We are really looking forward to the opening of the Great Tapestry of Scotland.  

“It’s a wonderful new attraction for the Borders that will engage visitors with its depiction of Scottish people, places and events, many of which were very important to Sir Walter Scott and his stories.

“Abbotsford is delighted to be a part of the tapestry’s story today and to give our visitors an opportunity to make their mark on an important piece of Scottish cultural history.”

Scottish Borders Council’s Executive Member for Business and Economic Development, Councillor Mark Rowley, added: “I’m delighted the Welcome Panel Tour will take in some of the exceptional venues we have in the Scottish Borders, highlighting both the region’s significant textile heritage and the vibrancy of today’s artists, makers and manufacturers.

“Its tour of Scotland is an opportunity to remind people of this great artwork and alert people across the country to the fantastic new home for the Tapestry currently being created in Galashiels.”

For more information or to book tickets for the Great Tapestry of Scotland Welcome Panel Tour visit scottishtapestry.com or follow @GreatTapestrySc on Facebook or Twitter, and @GreatTapestryScotland on Instagram.

Pictures: Phil Wilkinson

Cost Of The School Day UK rollout

  • Child Poverty Action Group awarded funding from The National Lottery Community Fund to remove barriers to learning for children from low-income backgrounds
  • Children in hard-up families are facing barriers to learning opportunities
  • Parents are increasingly asked to contribute to the costs of a school day

A £2 million National Lottery-backed project to support children’s learning and ease financial pressure on low-income parents has begun with 128 schools across the UK set to take action over the next three years.

Child Poverty Action Group (CPAG), working with project partners Children North East, will use the National Lottery funding to help schools remove the financial barriers to learning and participation that hold low-income children back, alongside easing the pressure that school-related costs place on struggling families.

The project will draw on previous work by both organisations that has helped schools to explore and address the impact of poverty on education.

Now, thanks to the National Lottery funding, UK Cost of the School Day will roll out to schools in Coventry, Neath Port Talbot, the London boroughs of Greenwich, Westminster, Kensington and Chelsea, as well as expanding to Moray in Scotland.

Through a structured, pupil-led approach, UK Cost of the School Day project staff will work with children and young people, families, teachers, school staff and local authorities to identify ‘cost barriers’ in each school – and to co-design ‘action plans’ to remove them.

Inclusion levels and changes in pupils’ experiences of school will be used to evaluate the effectiveness of the intervention throughout the first two years of the project, with the final year focussing on spreading changes that have a positive impact for pupils, beyond the initial 128 schools.

Alison Garnham, Chief Executive of Child Poverty Action Group, said: “School days are supposed to be the best days of a child’s life, but instead for some children and their families, they can be a source of anxiety if there are extra and unexpected costs for parents.

“Nine children in every class of 30 are growing up in poverty and although school is free, increasing costs are putting a great strain on families, causing some children to miss out on aspects of school life.

“This is why we’re delighted with the funding from The National Lottery Community Fund. This project will help schools work out what they can do differently to help to bridge these gaps – by making small changes to school life, they can make a huge difference to a child.”

Pupils and staff in schools which have been involved in the earlier Children North East and CPAG in Scotland projects reported a range of cost-barriers to learning, including:

  • Subject costs (e.g. materials for Art, Home Economics, IT, and the cost of theatre trips for Drama)
  • Not having IT at home for homework
  • Lack of money for school trips
  • Lack of money for travel-to-school fares (or travel home from after school activities which end after the free bus has left)
  • Cost of buying past exam papers and other revision materials
  • Cost of hiring and maintaining a musical instrument

A range of bespoke changes were recommended by these projects, to stop financial exclusion at school, including:

  • Choosing more affordable school trips, subsidising trips and/ or allowing parents to pay for trips in instalments
  • Providing sibling discounts for fun events and trips
  • Removing curriculum costs for subjects like home economics and technology
  • Providing a starter pack for entry level pupils of bag, pencil case and stationery and setting up homework clubs with resources such as IT
  • Reviewing school uniform policies, recycling school uniform items, buying plain blazers and ironing on badges
  • Improved promotion of school clothing grants and free school meals
  • Sharing bus hire with nearby schools
  • Setting up breakfast clubs and breakfast boxes for pupils
  • Reducing or removing costs for after school clubs and activities

John Knights, Senior Head of the UK Portfolio at The National Lottery Community Fund, said:“Thanks to National Lottery players this project will support school children to be able to fully and equally take part in all aspects of school life.

“Importantly the project is putting young people in the lead to create solutions that reduce the stigma that they can feel and enable them to thrive.”

Michele Deans, Operations Director at Children North East said: “Children North East is enormously proud of our Poverty Proofing the School Day initiative and we’re delighted to be partnering with Child Poverty Action Group on this important work.

“We’re looking forward to using our combined expertise to support more schools across the UK and ensure that every pupil can fully participate in school, regardless of family income.”

Funeral Support Payment to be increased

Extra support will be made available for people on low income benefits to pay for the cost of a funeral.

The Funeral Support Payment’s rate for expenses such as funeral director fees, a coffin, and flowers, is to be increased from £700 to £1,000 for all applications received from 1 April.

The Funeral Support Payment is made up of three separate parts: burial or cremation costs; travel costs; and a standard rate for other expenses – and it is this element which is being increased.

Introduced in September last year, the Funeral Support Payment replaced the UK Government’s Funeral Expense Payment in Scotland, greatly increasing eligibility. It is intended to help alleviate the burden of debt faced by those on low income benefits when paying for a funeral.

Social Security Secretary Shirley-Anne Somerville said: “At a time when families are struggling to come to terms with the death of a loved one, the last thing they need is extra financial stress.

“I am proud we are increasing the standard rate by 40% to £1,000 to support those paying for a funeral just months after introducing this important new payment.

“This increase, alongside the extended eligibility we have introduced, means the Funeral Support Payment is there to ease the pressures on up to 5,000 people annually at such a difficult time in their lives. So far the total average pay-out has been around £1,500.

“This benefit is part of the new Social Security system we are building from scratch for the Scottish people, with fairness, dignity and respect at its heart.”

The flat rate payment for other expenses may be used towards any other funeral expenses such as funeral director fees, a coffin, and flowers.

Those eligible for the Funeral Support Payment must be living in Scotland, have had the nearest relationship to the person who has died, be financially responsible for the funeral and be on a qualifying benefit or tax credit (e.g. Income Support, Jobseekers Allowance, Universal Credit, Employment and Support Allowance, Pension Credit, Housing Benefit, Child Tax Credit, Disability or severe disability element of Working Tax Credit).

Around 5,000 people are expected to be supported annually by the payment.

For more information or to apply online go to: https://www.mygov.scot/funeral-support-payment/