There are very good reasons why most people in the UK need credit on occasion. The fact is that our UK wealth distribution is so skewed that the majority of households in the UK have little or no safety net if the unforeseen happens, as it, inevitably does. We used to have a ‘social fund’ to deal with the situation. it was, in effect, a state backed loan scheme for those in particular, and pressing current need at a time of crisis, which could in many households be represented by something like the need for a replacement cooker.
That social fund was abolished some time ago and now there is no way in which most people can access necessary essential credit at the time when they need it without recourse to payday lenders.
Rather than being abolished the social fund was devolved down to local authorities: with, yes, a block grant to pay for it.