Supreme Court decision a ‘grievous blow to society’s poor and vulnerable’
25 November 2009
Vulnerable people could be left at risk of becoming homeless following today’s Supreme Court ruling in favour of banks charging fees on unauthorised overdrafts.
Crisis, the national charity for single homeless people, has warned that bank charges hit the poorest people hardest, and are the same people most at risk of becoming homeless.
Leslie Morphy, Chief Executive of Crisis, said: "Today's decision by the Supreme Court may be a victory for bankers, but it is a grievous blow to society's poor and vulnerable people.
"Speaking to homeless and vulnerably housed people who come through our doors every day I know they survive on extremely low incomes, often sailing close to their overdraft limits. It only takes an unforeseen expense or administrative error in benefit payments to send them over and incur a bank charge that can constitute a large proportion of their total income.
"Our research shows that many people in the private rented sector are struggling to manage their finances and pay the rent. If their benefits are swallowed up by bank charges they will only find this harder. That the banks should be permitted to charge these people when they are at their most financially vulnerable can only move them closer to or sliding back into homelessness."
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For further media information, please contact Garry Lemon on 020 7426 3880 or garry.lemon@crisis.org.uk
Crisis' research on Local Housing Allowance and struggling tenants can be found here
Crisis is the national charity for single homeless people. We are dedicated to ending homelessness by delivering life-changing services and campaigning for change. Our innovative education, employment, housing and well-being services address individual needs and help homeless people to transform their lives. We measure our success and can demonstrate tangible results and value for money. We are determined campaigners, working to prevent people from becoming homeless and advocating solutions informed by research and our direct experience. We have ambitious plans for the future and are committed to help more people in more places across the UK. We know we won't end homelessness overnight or on our own. But we take a lead, collaborate with others and together make change happen.
