1. Standard Financial Statement Craig Simmons Money Advice Service

2. What is the SFS?
A single format financial statement for use by advice agencies and creditors which is replacing the other existing formats in use
A single set of common fixed and flexible expenditure categories
One set of spending guidelines (or trigger figures)
A savings category to build financial resilience
Developed in collaboration with major advice providers, creditors, trade bodies and others
7 Scottish Local Authorities
Broader use – Local Authorities, Central Govn.

3. SFS / CFS comparison
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4. Testing
Mixed results
We tested 80 CFS cases and households using the ONS survey
Governance members such as PayPlan, AiB, CAP, StepChange have undertaken further testing.
Some limits on testing SFS with archive CFS cases
Those live not currently reporting an issue
Looking to pull together fuller data for Autumn for annual review of methodology and guidelines.
Our policy – the guideline is precisely that…a guideline
Breaches spending guidelines on 20 SFS v 17 CFS cases
8 housekeeping breaches v 4 in CFS
Average difference between housekeeping allowances CFS £27 more generous (consider moving clothing & toiletries out)
11 Personal v 1 in CFS – this will be shared between comms and leisure and those which have ticked over by a few pounds
This will be offset by inaccuracies in transferring cases
StepChange found 97.5% of couples (additional adult) unaffected, 95% of whole book unaffected
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5. Who created the SFS?
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6. Launch and transition 1 March 2017 Multiple advice providers using SFS
PayPlan, AdvicePro users and DEMSA members
Insolvency Service Eng&Wal
Creditors prepared to receive
IVA Protocol
March 17 – March 18
Transition period
CitA Sept (Eng&Wal)
MAT / StepChange Dec 17 / Jan 18
AiB consultation with Apr 2018 earliest adoption
Local authority & central government
From April 18
Expected date of all advice provs using SFS
Switch off of other statements (CFS / SC)
Large number of creditors build into collections
Approx. 520 members signed up
37 Insolvency Practitioners
37 commercial credit providers signed up, including Barclays, HSBC, Santander, RBS, TSB, Atom, Tesco, Nationwide
146 AdviceUK members
65 CSA members
49 DCAs
46 local authorities
14 software providers
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7. Application and resources
Users must sign up to the Code of Conduct on registering. Strongly recommended to review training or user guide.
Touch on restrictions for Scottish advisers using SFS, nothing to stop sign up.
SFS format not drastically different to existing statements and guidance quite light touch / basics. Intention is not to overstep the remit of the SFS, which in some cases is simply how to fill out the form and leave some room for flexibility in the specifics of advice giving across orgs.
MoneyAdviceService.org.uk
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8. Key discussion points Is the principle of SFS welcome?
What is an appropriate spending guideline level?
What should be the approach for exceeded guidelines (re evidence)?
How can we best support implementation if SFS is accepted for Common Financial Tool.
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9. Questions & contact us
Contact for SFS
Download the 2014 consultation paper
Download the consultation response
Visit the SFS website
Find out more about our debt work
Download the latest publications relating to our debt work
Wednesday, 12 September 2018