The Halifax plans to offer prisoners preparing for release the option to open a bank account, it has been revealed this week.
The move aims to address the problem of reoffending related to a lack of access to basic services such as a bank account. Reports suggest that many newly released prisoners struggle to get a bank account and not having one then causes them issues with looking for work, applying for benefits and grants and securing accommodation.
A spokesperson for the Halifax, which is owned by Lloyds Banking Group, told This is Money it hopes to be offering basic banking services in up to 20 prisons by spring next year. It is believed that the move will make the bank the biggest account provider in the prison sector, servicing up to 5,700 customers.
To be eligible, prisoners will have to have less than a year left on their sentence. The services won’t be available to them if they have undischarged bankruptcies or they have been found guilty of financial crimes. Identity checks will be required.
As well as basic banking facilities, Halifax will also work in conjunction with UNLOCK, the national association of ex-offenders, to offer basic financial management training.
Christopher Stacey, head of projects and services at UNLOCK, told This is Money: “The accounts will give people released from prison a chance to secure employment and become contributors to their communities.”
