Struggling with bills? Need some advice? You’re not alone.
Around 7.4 million adults in the UK are still having a tough time paying bills due to the high cost of living, according to a recent survey. While this number has gone down from last year, many households still feel financially strained.
The survey conducted by the Financial Conduct Authority (FCA) found that one in nine adults (about 5.5 million people) had missed a bill or credit payment in the six months leading up to January 2024. Additionally, one in nine people reported having no spare cash after covering their essentials.
Despite inflation easing up in recent months, the rising costs of energy and food continue to hit households hard. Borrowing money has also become more expensive due to interest rate hikes aimed at curbing rising costs.
Sheldon Mills, Executive Director of Consumers and Competition at the FCA, acknowledged that “many people are still struggling with their bills,” but highlighted the positive impact of available support.
The survey’s key findings in January 2024 included:
- 7.4 million people (14%) feeling heavily burdened by domestic bills and credit commitments
- 5.5 million people (11%) having missed bill payments or borrowing repayments in the previous six months
- 14.6 million people (28%) reporting difficulty coping financially
- 5.9 million adults (11%) having no disposable income
The FCA advised that about half of all adults have cut back on spending, while 26% have taken on additional work to supplement their income.
If you’re struggling with debt and need help, don’t hesitate to reach out to us at Revolution Money. We’re here to assist you with various support options, including tailored debt solutions, and the best part is it won’t affect your credit score.
In the UK, there are several debt solutions available depending on your circumstances. These include debt management plans (DMPs), individual voluntary arrangements (IVAs), debt relief orders (DROs), and bankruptcy. Each option has its own criteria and implications, so it’s essential to seek professional advice to understand which solution might be suitable for you. Our friendly team at Revolution Money is ready to provide personalized advice and assist you in navigating the available debt solutions to find the best path forward.
It’s important to remember that many people are falling behind on payments, which can have a lasting impact on both their finances and mental health. Lenders should step up and offer support to customers proactively, even before they ask for it. Let’s work together to overcome these challenges and achieve financial peace of mind.
*original article BBC News