recruitment and credit referencing.

[handsomebob]

is it lawful for an employer to base a recruitment decision on the results of a credit score or the details of their credit rating?

[Ethel]

In some circumstances.

It depends on the nature of the job.

[Miss Zippy]

Depends on the nature of the job as Ethel says, but is very common for senior positions in the regulated sectors (eg, finance, law etc). For instance, I work in the financial services sector which is regulated by the Financial Services Authority ("FSA"). The FSA say that only persons considered to be 'fit and proper' can perform functions of 'significant influence'. Were I to be arrested for any reason or have a poor credit rating, I might no longer be considered a 'fit and proper' person to do the job I perform. The reason a person's credit rating is taken into account is because, if it is poor, that person could be more inclined to to do something adverse (eg, siphon off client money or sell off client's details to organised criminals) for financial gain.