Economic abuse remains one of the most overlooked causes of debt problems in the UK. A recent survey by Surviving Economic Abuse (SEA) found that 15% of women had their finances controlled by another person in the past year. This form of abuse can include restricting access to bank accounts, sabotaging credit, forcing loans, or running up debt in someone else’s name.
For many, the result is financial instability that can take years to recover from. Even after leaving an abusive relationship, victims are often left with coerced debts, damaged credit scores, and a lack of financial safety net. These lasting effects increase the risk of insolvency and make rebuilding extremely difficult.
A Step Forward: Removal of the Reporting Fee
In a positive development, the government has removed the debt reporting fee, making it easier for people to challenge debts that were created under coercion or fraud. Previously, victims often had to pay to have a debt reviewed or investigated, which put many off seeking help.
This change is an important step towards giving survivors of economic abuse fairer access to justice and financial recovery. It also helps advisers and insolvency professionals support clients without the added pressure of extra costs.
Who Is Affected?
SEA’s data shows that women are disproportionately impacted, particularly single parents, younger women, and those from ethnic minority backgrounds. For women with children, the risk is much higher, 28% reported experiencing financial control compared to 10% of women without children.
However, men also experience financial control and coercion. The ManKind Initiative reports that more than 1.1 million men face partner-related abuse each year, which can include economic abuse. StepChange Debt Charity estimates that 1.6 million adults in the UK have been pressured into taking out credit or loans they didn’t want.
Why It Leads to Debt Problems
Economic abuse can leave victims trapped in debts they never agreed to. Many only discover loans or credit cards in their name after leaving an abusive relationship. Missed payments or defaults then lead to County Court Judgments (CCJs) and long-term credit damage.
The emotional impact is equally serious. Shame, fear, and lack of awareness can stop victims from seeking help. SEA’s research shows that people who understand what economic abuse is are far more likely to access support and begin rebuilding their finances.
How Adcroft Can Help
At Adcroft, we recognise that not every debt problem comes from overspending. Sometimes it’s the result of control, manipulation, or fear. Our advisers are trained to spot the signs of economic abuse and work with compassion and confidentiality to help you take back control.
We can:
- Review your credit agreements to identify coerced or fraudulent debts
- Challenge debts created under duress
- Explore insolvency or restructuring options that protect essential assets
- Refer you to trusted domestic abuse and financial support organisations
Breaking the Silence
SEA reports that 42% of victims never tell anyone about the abuse. Silence can make recovery harder, but change is possible. The removal of the reporting fee is a welcome step in ensuring victims are not penalised for seeking help.
If you think your debt problems could be linked to economic abuse, please know that you are not alone, and you are not to blame. Support is available, and there are ways to take back control of your finances.
At Adcroft Hilton Ltd, we help people rebuild after financial crises, whatever the cause. If you need confidential advice, contact our friendly team today.
Useful Resources and Helplines
- Surviving Economic Abuse (SEA): www.survivingeconomicabuse.org
- National Domestic Abuse Helpline: 0808 2000 247 (24/7, free, confidential)
- ManKind Initiative (for male victims): 01823 334244
- StepChange Debt Charity: www.stepchange.org
