Research: Financial Inclusion and access to financial services in the UK
LexisNexis | March 16, 2022
LexisNexis® Risk Solutions has carried out in depth analysis of its UK data sources, combining two of the UK’s largest Credit Reference Agencies (CRAs), short term loan applications and around 30 alternative public and private sources, to create a unique and comprehensive picture of UK Financial exclusion.
One in seven financially excluded
Analysis shows that around 7.1 million people (one in seven, or around 14% of the adult population) in the UK fall into the definition of ‘financially excluded’, meaning they could potentially struggle to access affordable and fair financial services. We also found over 637,000 people fall into the definition of Credit Invisibles, rendering almost three-quarters of a million people effectively un-scorable in credit-risk terms.
Regional matters
We analysed financial exclusion and negative financial data by age, across 380 UK local authorities to provide a granular picture of the extent to which populations, right down to a community level could be suffering from financial exclusion and vulnerability.
See: Growth through financial inclusion: A Roadmap for UK Banks
Use our interactive heatmaps to view how the causes of financial exclusion – including lack of a credit footprint or a bank account, use of subprime lending and the presence of negative financial credit history (CCJs and bankruptcy) – are distributed across the UK population, and how regions compare.