Equifax UK has called on the lending industry to unite in accelerating financial inclusion and tackling economic abuse, in an open letter to the industry.

The credit reference agency is urging for a collaborative effort to address the challenges facing UK consumers, including the £20bn unclaimed benefits gap and making earlier debt engagement.

Equifax has launched the call to action as it also publishes its latest Financial Health Report, which paints a contrasting picture of the financial health of the UK. The findings have estimated that five years on from the COVID pandemic, £20bn of financial support has been left on the table by low-income households.

Meanwhile, as many as one in five UK women were victims of economic abuse in the last 12 months – a legally recognised form of domestic abuse concerning the control of a partner or ex-partner’s finances. Equifax said this requires best practice across credit reporting and debt resolution to ensure survivors are not further penalised.

The group’s letter has called on stakeholders to invest in financial education, critically examine current industry approaches, and develop new innovative tools to support financial vulnerable customers.

Writing in the letter, chief strategy and Innovation Officer at Equifax UK, Craig Tebbutt, said: “Five years on from the global pandemic, we are seeing a complex environment of resilience and vulnerability for UK consumers, one that would benefit from data-informed action.

“We are committed to working with our partners to create a sector that empowers individuals to live their financial best and there are plenty of reasons for optimism, with so much work already taking place. But accelerating financial inclusion requires a sustained commitment to innovation, collaboration, and an unwavering focus on consumer financial health, and that is a goal that we can only achieve as an industry.”

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