MAS reverses losses to post £3m surplus in tumultuous year

Treasury announced abolition of service in March

Carmen Reichman
clock • 2 min read

The Money Advice Service (MAS) has posted a £3m surplus for the past year despite a damaging review and the government's decision to scrap the service in its current form.

The body's annual results saw it turn from posting a £786,000 deficit last year to a £2.97m surplus in 2015/16, of which it will rebate £0.8m to the industry over the coming two years. MAS said it reduced its net costs for the year from £81.4m in 2014/15 to £78.7m the following year through a string of cost-cutting measures, particularly in its money guidance arm. The money guidance department, which sits alongside debt advice and is partly funded by advisers, cut costs by 25% from £44.8m to £33.7m. As a result advisers will see their levy cut to £2.9m for the coming year - about a...

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