Max MawbyFinancial Capability Project ManagerBehavioural Insights Team

The Financial Capability Lab

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We need new thinking to help people with their money

The Financial Capability Lab

In 2016, we set up the Financial Capability Lab to tackle some of the UK’s most common money management challenges. Each idea has been built on insights from behavioural science.

10,500 Predictiv test and 80 qualitative work participants

90 expert contributors from business, academia, the third sector and the policy community

244 ideas generated across three key areas of focus

18 ideas tested and detailed reports prepared

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Financial Capability

We used BIT’s online experimentation platform Predictiv to run online randomised controlled trials

Focus groups, workshops and interviews were conducted by Ipsos MORI to help us explore ideas in depth

Financial Capability

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Online research to understand human

behaviour and how to change it

Financial Capability

7 in 10 households will experience an unexpected cost each yearTypically between £200 and £400, but can be much higher, such as £1,341 for the average car repair bill

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£580 average savings 1 in 4 of these households have no savings at all

Building savings

Checkout

Savings

Accessible

Emergency

Fund

Savings

Supporter

Financial Capability

1 in 2 people miss out on free supportLess than half of us are aware of Government free guidance

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6 in 10 of the financial events experienced by the financially squeezed and struggling last year did not involve seeking help

Getting help

Take

Guidance

and Win!

Guidance

That Is

Right On

Time

Financial

Guidance

First Aider

Financial Capability

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1 in 4 of the financially squeezed are

vulnerable because of their credit 3.2 million financially squeezed adults in the UK face excessive interest charges or problem debt as a result of making low repayments

1/2of the financially squeezed have a credit or store card6.4 million financially squeezed adults in the UK

Managing credit

Increasing

Credit Card

Repayments

Repay and

Save

Offer

Blocker

Where next?

Full report published in the New Year

Work with us – We are looking for pilot partners to develop the most promising ideas from the Lab

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Max Mawby – Financial Capability Project Manager, Behavioural Insights TeamSonia Fernandes – Policy Manager, Money Advice Service

Q&A PanelBen Walker – External Affairs Adviser, Money Advice Service