A/HRC/28/59/Add.1 65. Iceland still needs an adequately equipped Debtors’ Ombudsman to assist overindebted households with debt mitigation, as well as to provide advice and improve financial literacy so as to prevent citizens from falling into a debt trap again. 66. Of particular concern is access for the less affluent to affordable and appropriate housing with secure legal tenure, especially given the fact that many of them have lost their own homes and have entered the rental market. In particular, young persons with children find it difficult to find affordable accommodation. There is a lack of apartments for longterm rental and there is a need to improve the legal protection of rent payers and to expand social housing programmes. V. Lessons learned A. Good practices 67. Several good practices can be identified. First, the Government tried to reduce the negative impact of the banking collapse on its citizens by sheltering their deposits; restructuring and dividing the failed banks into smaller entities to serve the local citizens and economy; introducing capital controls, as needed, and debt relief for companies and private households, including the establishment of a Debtors’ Ombudsman. 68. The Government also responded to the financial and economic crisis by sheltering vulnerable groups through expanding social protection spending, promoting temporary part-time work, formulating active labour market policies and granting a temporary expansion of entitlement to unemployment benefits, instead of implementing front-loaded austerity measures — which would have worsened the crisis —, adjustment policies focused on increasing government revenue through the reintroduction of progressive income taxation, a wealth tax and higher corporate taxes. Although practically every citizen suffered losses, the cost of the collapse was distributed in an overwhelmingly fair manner, with stronger protection for low-income groups, while the wealthy, who are not at risk of falling below the minimum levels of enjoyment of social and economic rights, experienced a much higher drop in their disposable income. Inequality within Icelandic society decreased. While unemployment rose, it never reached the catastrophic levels experienced by other European countries affected by financial crises. The Independent Expert commends Iceland for, in particular, reducing poverty among the elderly and, more particularly, among elderly women, by increasing the government-guaranteed minimum pension. 69. Welfare Watch is worth mentioning as an innovative response to the financial crisis. The watchdog can be credited for having improved collaboration between government departments, local authorities and civil society in tackling the social impact of the crisis and for enhancing citizens’ participation. Its work resulted in improved social monitoring and targeted interventions by the authorities and welfare organizations. Welfare Watch also helped to spread the message to the public authorities and society at large that nobody should be left behind as a consequence of the banking collapse. 70. Iceland should also be credited for initiating a comprehensive analysis of the causes of the banking collapse by the Special Investigation Commission, which was established by the Parliament. In addition, serious efforts were made to combat impunity for economic crimes in the financial sector through the establishment of the Office of the Special Prosecutor. 21