Tories plan free financial advice

David Cameron is proposing free financial advice service funded by a new £50 million a year "social responsibility levy" on the financial services sector.

But he immediately faced charges he was stealing the government's idea.

Speaking on breakfast television this morning the Conservative party leader said people would be given free access to independent financial advice.

The Tories say such a service is "urgently required", given increasing concerns about the state of the economy.

While acknowledging that the idea has been around for several years, they say ministers have been "dithering" and have so far failed to implement it.

The Tories would bring it in within 12 months of a general election win, they said.

It would provide guidance via face-to-face sessions, over the telephone and online.

But Downing Street said the government was already advancing plans for a national money guidance service, with costs divided between the taxpayer and the financial services industry.

It was recommended in a Treasury-commissioned report last month and a £12m pilot would get underway within weeks.

Mr Cameron said on GMTV that debt was another "really big cause" of poverty.

He said: "I have sat in citizens advice bureaux and listened to families' heartbreaking stories about debt.

"We are announcing today setting up a debt helpline funded by the banks so everyone has got one telephone number you can ring to get advice on debt to help you sort your life out."