philip Hammond will extend a helping hand to save poorest people from the clutches of payday loan sharks.

The Sun has been campaigning to help protect millions of people stuck paying off high cost credit loans - where rates can be as high as 6,000 per cent - as part of our Stop The Credit Rip-Off campaign.

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He wants banks to forge a new partnership with debt charities to support low-income households pay for unexpected costs.

The action will be announced in Monday's Budget in a package of measures to tackle problem debt. It follows widespread concern over payday lenders such as Quickquid who offer short-term cash fixes at sky-high rates, as well as rent-to-own and door step loans.

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Mr Hammond believes he can devise an affordable alternative to high-cost credit which has left hundreds of thousands in a spiral of debt.

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