Peter, presently we live in a cast society.
Those on JSA are the untouchables, then there are those on £6 an hour minimum wage with no contract, no sickness money no holiday money.
At the top of the ladder are the very rich who pay no tax because they bonus their tax back many times over.
".... it was that 'family member' lender that encouraged them to do the silly thing that got them into trouble in the first place..."
Gordon Brown again I suppose.
In which case Gordon Brown facilitated the bad decisions made by the family (in much the same way Mrs Thatcher facilitated the personal credit culture that has crippled many a real family) but it was still the head of the finances in the family that acted irresponsibly. Just because someone else is now in charge, should they still have their 2 weeks in Ibiza?
As with all these tight home finance situations it is also important to understand where money can be lost. If my loose change dissappears, I always check down the back of the Caymen islands...errr, I mean sofa.