Economic abuse: What is it and who is at risk?

Shelley Read, Senior Protection Development and Technical Manager at Royal London, looks at the issue and the steps that can be taken to help those experiencing this situation. 

How we identify and support vulnerable customers, especially since the implementation of Customer Duty, is important. It’s an issue that’s rightfully gaining attention due to the significant and growing issue of economic and financial abuse, not just in the UK, but globally.

Recent research by the charity Surviving Economic Abuse revealed that approximately one in five women in the UK, around 5.5 million, have experienced some form of economic or financial abuse in the past 12 months, highlighting the scale of the issue.

The findings showed women are twice as likely to disclose economic abuse to a financial services provider than to the police. It also highlights the likelihood that many of us in financial services may encounter women who have experienced this type of control. While we’re not expected to be experts in this field, it’s important to understand the issue, know what to do, and where to direct clients for help.

Recognising the signs of economic abuse
Signs of economic abuse can often be subtle and take many forms, so it’s important to be aware of some of the common signs. Things to look out for include:

• Debt in the victim’s name: The abuser may take out loans or credit cards in the victim’s name without her knowledge or consent. The abuser may run up debts in her name and refuse to pay them off.
• Control over financial decisions: The abuser may make all the financial decisions in the relationship, including how money is spent, saved, and invested. They may refuse to include the victim in financial discussions and decisions.
• Isolation from financial resources: The abuser may prevent the victim from accessing financial resources, such as her own money, family support, or social services. In fact, they may be isolated from friends and family who could provide financial assistance.
• Manipulation of financial information: The abuser may lie about the couple’s financial situation, hide financial documents, or manipulate financial information to make the victim feel dependent and powerless.

The impact of economic abuse
Economic abuse can be directed towards all income brackets, sexes and age groups – and can have a devastating impact on lives, affecting physical and mental health, ability to work and earn an income, and overall quality of life.

It does not simply end when the immediate situation is resolved or when someone leaves an abusive relationship. Its effects can be deep-rooted and enduring, shaping a person’s financial, emotional, and social wellbeing for years, sometimes even decades, after the abuse has stopped.

Victims may spend years rebuilding credit scores, paying off debts accrued without their consent, and recovering lost savings or assets. Some may never fully regain their prior economic stability, especially if the abuse was prolonged or severe.

A call for support and awareness
The journey to healing from economic abuse is often long and complex. Support from financial service providers, social workers, legal advisors, and community networks is crucial in helping survivors regain autonomy over their financial lives. Recognising the enduring nature of economic abuse underscores the importance of early intervention, robust support systems, and ongoing advocacy to break the cycle and empower survivors.

Supporting those experiencing economic abuse
Working in the financial service industry, we have a collective responsibility to understand and look out for the issue of economic abuse and support those experiencing it.

Here are some steps you can take to help:

• Listen and believe. By validating their experiences, you let them know they are not alone.
• Provide information and resources: Give vulnerable customers information about economic abuse and provide resources, such as contact details for local support services, financial advice, and legal assistance.
• Offer practical support: Help them access their money, open a bank account, or apply for financial assistance. Provide practical support to help them regain control of their finances.
• Work with other professionals: Collaborate with other professionals, such as social workers, counsellors, and legal advisers, to provide comprehensive support to those experiencing economic abuse.
• Advocate for change: Advocate for changes in policies and practices to better support those experiencing economic abuse. This could include training staff to recognise and respond to economic abuse or working with other organisations to raise awareness of the issue.

This article was first published in Professional Paraplanner, August 2025.

Find out how to identify and support vulnerable customers. 
For more information listen to our “Vulnerable customers – a proactive approach in identification and support” webinar.
Surviving Economic Abuse: Transforming responses to economic abuse

Identifying and supporting vulnerable customers
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