No bank account – no access

Estimates suggest that between 200,000 and 260,000 adult Londoners are ‘unbanked’, meaning they do not have access to a bank account.

Being unbanked can contribute to wider social exclusion, as having a bank account is often required for paying bills, gaining employment, receiving income, and accessing benefits.

An investigation by the London Assembly Economy Committee heard that there are still many people who do not have the necessary documentation required by banks to open an account.

Identification requirements can disproportionately impact migrants, Gypsy, Roma and Traveller communities, homeless people, people leaving abusive partners, young people leaving local authority care, and people with learning difficulties and poor mental health.

The Committee has today urged the Mayor and Deputy Mayor for Communities and Social Justice to work with Londoners and the banking sector to design a financial inclusion strategy for London.

Hina Bokhari AM, Chair of the Economy Committee, said:

“Being unbanked should not mean being forgotten.

“We know that the current cost of living emergency is a concern for all Londoners. The additional costs that unbanked Londoners often face are likely to put more strain on their finances.

“Everyone has a right to a basic bank account, but our investigation identified concerns that some banks are not doing enough to assist vulnerable people in obtaining the required documents.

“That is why we are urging the Mayor and Deputy Mayor for Communities and Social Justice to work with Londoners and the banking sector to design a financial inclusion strategy for London to support some of the most vulnerable groups in our city.”