A major new policy institute dedicated to researching and finding solutions to the devastating link between mental illness and money problems was launched today, funded by a donation of at least £2 million from MoneySavingExpert.com founder Martin Lewis.

The Money and Mental Health Policy Institute aims to research and formulate policy solutions, then work with banks, lenders, regulators, health service providers and government to help people with mental health problems protect themselves from financial difficulties and get out of debt.

It will be run by Polly Mackenzie, a former special adviser at 10 Downing Street, and its trustees include Richard Lloyd, executive director of Which?, and Paul Kirby, former head of the Number 10 Policy Unit. Martin himself will chair its board of trustees.