The Intermediary – September 2026 - Flipbook - Page 46
RESIDENTIAL
Opinion
conomic abuse is a
form of coercive and
controlling behaviour
that limits a person’s
ability to access, use
or maintain financial
resources. While it sits under the
broader umbrella of domestic abuse, it
is distinct in how it manifests, as well
as how it must be addressed.
Within financial services, economic
abuse oen presents itself through
restricted access to money or accounts,
debt accrued in someone else’s
name, control over joint financial
commitments such as mortgages,
or one party dominating financial
decision-making.
What makes economic abuse
particularly challenging is that it hides
in what could appear to be normal
financial behaviour. Joint accounts,
shared commitments and everyday
spending decisions can mask paerns
of control. Unlike physical abuse,
there are oen no visible signs.
This invisibility is exactly why it
has historically been less understood –
and why the sector must now sharpen
its focus.
E
Signs of change
Encouragingly, awareness is growing.
Economic abuse is now legally
recognised in England and Wales
within the Domestic Abuse Act, and
both Government and regulators are
increasingly treating it as a form of
systemic financial harm. It has even
been discussed at Government level as
a national emergency.
With 4.2 million women
experiencing economic abuse in the
last year, according to Surviving
Economic Abuse, it couldn’t be any
more urgent.
We are seeing innovation emerge
across the industry. In the protection
space, for example, some insurers
are beginning to design products that
account for economic abuse, such as
cover to support individuals fleeing
these situations. This progress signals
an important shi: economic abuse
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The Intermediary | September 2026
is no longer viewed as purely a social
issue, but as a financial one too.
That framing maers. When
access to money is controlled, the
ability to leave an abusive situation
is fundamentally compromised.
Financial independence is not just
about resilience – it is about safety.
Despite growing awareness,
misconceptions do remain. One
of the most common is that cases
simply look like they are in financial
difficulty. In reality, apparent
financial distress may mask a much
deeper issue of coercion and control.
The term ‘abuse’ can feel weighty,
leading some to believe it only applies
to severe cases.
But economic abuse can be subtle
and cumulative, and we know that it
can be hidden in everyday transactions
or financial behaviour. What might
begin as caring and supportive
behaviour can gradually become
harmful over time – someone being
told what they can or cannot spend,
for example, or gradually losing their
financial autonomy.
There is a persistent belief that
individuals will disclose to others if
something seems wrong. In practice,
most do not.
Shame, fear and dependency oen
prevent open conversations. It’s also
possible that an individual may not
realise themselves that what they are
going through is abuse, which is why
it’s so critical that the industry is wellinformed.
These misconceptions create a
critical barrier to identification –
and reinforce the need for targeted
education across the industry.
The responsible role
The financial services industry has
a pivotal role to play here – not only
in recognising economic abuse, but
in helping to prevent it in the first
instance. This starts with embedding
understanding across organisations.
Learning and awareness initiatives
are essential to help employees
differentiate between standard
ANDREW CALDER
is strategic partnerships
and proposition manager
at Accord Mortgages
financial behaviours and potential
warning signs.
But the responsibility goes further.
Product design must also be part of
the solution. Financial products –
particularly those involving joint
ownership or shared commitments
–can be vulnerable to misuse.
Providers should be asking whether
they could be used by one party to
exert undue control over another,
for example, or whether there are
safeguards to prevent financial
domination.
Supporting recovery
The impact of economic abuse
does not end when the abuse stops.
Survivors oen face long-term
financial consequences, from
damaged credit to ongoing debt.
This raises important questions
for lenders and providers, such as
how they support customers in the
aermath, or whether forbearance
processes could be more flexible.
The future should mean that
intervention extends beyond
identification, to meaningful,
sustained support.
As an intermediary-only lender,
we recognise that brokers play a
particularly vital role. In many cases,
they are the first – and sometimes
