A new debt respite scheme has been launched by the UK government today (4th May).
As well as providing access to professional debt advice, there will be stronger protections for people in mental health crisis treatment.
Breathing Space aims to help around 700,000 people struggling with problem debt this year. It will give those facing financial difficulties 60 days to get finances back on track.
Recognising the link between problem debt and mental health issues, the protections will be available for those in mental health crisis treatment for the full duration of their crisis treatment - plus another 30 days.
The scheme isn't a payment holiday, but people will work with a debt advisor to find a sustainable solution to their debt.
Most debts are included in the scheme:
- Credit and store cards
- overdrafts
- utility bills
- personal and payday loans
- rent and mortgage arrears
- government debts such as tax and benefits, including Universal Credit overpayments
There are several ways to get information about Breathing Space. The National Debtline explains the scheme here: Fact Sheet - Breathing space | National Debtline
The UK government website has information on Breathing Space here: New scheme to give people in problem debt breathing space launched - GOV.UK (www.gov.uk)
For specific information about debt and mental health, the National Debtline has a fact sheet available here: Fact Sheet - Debt and mental health | National Debtline | National Debtline
