Bounty

People will be given help to get back on track financially through an annual family fund health check and free money advice, the Government has said.

Improved information will allow people to make more informed decisions about their money while people will also be encouraged to save through the launch of a new range of simplified financial products.

The Government has made improving people's finances a priority, according to Financial Secretary to the Treasury Mark Hoban. The financial health checks, which will be carried out by the newly created Consumer Financial Education Body (CFEB), will attempt to "nudge people in the direction of healthy financial behaviour", he said.

He said the health check willl encourage people to take a thorough look at their finances, and will show them where they were most at risk. It will also give families a "prescription" offering them clear advice on steps they can take to improve their financial situation both now and in the years to come. The scheme will be piloted later this year, with a view to launching it next spring.

A free money guidance service offering advice face-to-face, by telephone and over the internet will also be developed, while the Government is also looking at the support it provides for debt advice.

Copyright Press Association 2010