Posted: 17.06.2005
Immediate Release

Scotland's 151,000 lone parents are to get more specialist advice and information to improve support for those facing financial problems, thanks to a new financial inclusion project from Scotland's leading lone parent charities, which was launched today (17 June) by Communities Minister Malcolm Chisholm.

With £150k per year for two years from the Scottish Executive as part of its money advice for vulnerable groups project announced last year, the charities One Parent Families Scotland and One Plus can extend the hours of the Lone Parent Helpline (0808 801 0323), fund a set of new financial issues fact sheets and a training programme for agencies working with lone parents.

It follows extensive research recently carried out by the two charities that highlighted the specific challenges faced by lone parent families and how to tackle them. The project also forms part of the Scottish Executive's "Closing the Opportunity Gap" strategy to help low income families find a way out of poverty.

Lone parents face a range of complex financial issues, which have changed dramatically in recent years and which make it hard for more generalist agencies to deal with. In addition, lone parents have now overtaken pensioners as the poorest group of people in society. Two-thirds of lone parent households in Scotland fall below the 70% low income threshold and 34% of lone parents have an annual income of less than £10,000 compared to just 5% of two parent families.

Lone parents also face higher levels of financial exclusion than other family types and are more likely to be in debt. Moving into work (47% of Scottish lone parents work) does not always help them to escape from debt, and can sometimes exacerbate the problem as benefits stop, creditors become more aggressive, and necessities such as childcare and travel passes have to be paid for in advance.

Malcolm Chisholm, Minister for Communities said: "It is simply unacceptable that lone parent households are twice as likely to be among the numbers of those in Scotland who have no bank account. When people are on limited incomes, not having access to basic financial services can make life much more difficult. Organisations like One Plus and One Parent Families Scotland provide invaluable support and advice and I am delighted to be able to formally launch their Financial Inclusion Project today. This will mean that lone parents can get specialist help with money advice, from a trusted source, at the times they most need it."

Please put quote as from Sue Robertson from OPFS said: "This funding from the Scottish Executive, combined with support from The Royal Bank of Scotland Group, means that One Plus and One Parent Families Scotland can provide more support for individual lone parents on financial matters. The unique combination of issues faced by lone parent families can only be dealt with by targeted specialist help and advice and we know that these improvements will go some way to alleviating the financial problems and subsequent poverty which many experience."

The Lone Parent Helpline in Scotland, which has been supported by The Royal Bank of Scotland Group over the past three years, receives over 3,000 calls a year, most of which are finance related. Following the Executive's funding, specialist advice on financial issues can now be extended from three to five days a week. The new financial fact sheets will cover topics such as dealing with debt, bank accounts, budgeting, and starting work. The training programme, which will be delivered by the lone parent charities, is aimed at community organisations and advice workers such as the Citizens Advice Bureau. It will look at the financial issues faced by lone parents on separation, moving from benefits to employment or further/higher education, childcare and dealing with debt.

The Lone Parent Helpline number is 0808 801 0323 and it operates Monday to Friday 9.30 am to 4.30 pm. Specialist advice for those with financial queries or problems is available on Monday, Wednesday and Thursday from 12.30 to 3.30, and on Tuesdays and Fridays from 11 am to 1 pm, and from 2 pm to 3 pm.

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NOTES:

1. A photocall with Malcolm Chisholm, Communities Minister, and representatives from One Plus and One Parent Families Scotland will take place on Friday, 17 June at 11.30 am to 12.30 pm at The Piping Centre, 30-34 McPhater Street, Cowcaddens, Glasgow G4 0HW. (Photographers please arrive at 11.15.)
2. Lone parent facts:
   • There are 151,484 lone parents in Scotland, 93% of whom are women, with around 257,500 children. One parent families are 25% of all families with dependent children.
   • Across Scottish Local Authorities the % of Lone Parents range from 40.1% in Glasgow to 11.9% in Moray.
   • 57% of lone parents have been married and are lone parents because they are divorced [31%], separated [21%] or widowed [5%]. 43% are single, mainly separated cohabitees.
   • Less than 3% of all lone parents are aged less than 20 years. The average age is 35 years.
   • In the 4 most deprived areas across Scotland Lone Parent Families make up over 50% of families living in these areas.
   • In Scotland 26% of female lone parents work part-time with 21% in full-time employment.

Contact:

Ian Maxwell, OPFS (Tel: 0131 557 7892 / 07887 500667)
Marion Davis, One Plus (Tel: 0141 333 1450)
Sarah Barclay, Press Manager (Tel: 07849 425661)