Credit, Collections & Insolvency News
Figures from the Office for National Statistics (ONS) show inflation rose more than expected last month to hit 10.4%, up from 10.1% in January. Economists had predicted a slight drop to 9.9%. The rise was driven by a continued rise in food costs, which increased by 18.2% in the year to February, the fastest rise…
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Research by Citizens Advice has suggested that bailiffs are breaking the rules on a massive scale and raking in huge fees, all while driving people into deeper hardship. The charity says that it is raising the alarm over bailiff behaviour, as its latest cost of living survey found one in four people (27%) have fallen…
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Citizens Advice is calling on the government to introduce an energy social tariff by 2024. The charity believes targeted financial support in the form of a social tariff is the long-term solution to millions of people spending excessive amounts on their bills, both now and during what could be a decade of record prices ahead.…
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Age UK is leading calls for a pre-payment meter (PPM) amnesty amid concerns that forced installations are leading to vulnerable older people ‘self-disconnecting.’ The research shows that well over half a million older households one in four of pre-payment meter customers are now dependent on this form of pricier, pay-as-you-go energy Older households account for…
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The Chancellor is set to receive a short-term borrowing boost in his Budget, some of which he will use to prevent a spike in energy bills and petrol prices next month. But in the face of a longer-term weak outlook he faces tough choices on how to resolve public sector strikes and boost Britain’s growth…
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A new report suggests that the Government made £2.4 billion by selling mortgages from collapsed lenders to investment firms, with 200,000 mortgages sold to firms that cannot offer new deals. With other lenders refusing to accept these homeowners, they have been left as so-called ‘mortgage prisoners,’ trapped on high rates. The London School of Economics…
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People in deep financial trouble are being misled by profit-making firms into unsuitable debt solutions which are often leaving them worse off according to a new report from Citizens Advice. With the cost-of-living crisis pushing more people into debt, Citizens Advice has found worrying numbers of people in Individual Voluntary Arrangements (IVAs) unable to keep…
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Credit Connect’s hosted its sixth Online Collections Technology Think Tank 4.1 last week which saw collections strategies and the impact of cost of living economic stresses discussed by thirteen collections professionals from a variety of industry sectors. The themes of collections risk, customer engagement, affordability and the future of collections were discussed by panelists and…
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New figures from the Insolvency Service show that there were nearly 88,000 IVA’s were registered in England and Wales in 2022, the highest annual number since records began in 1990. In England and Wales, one in 18 Individual Voluntary Arrangements (IVAs) (5.5%) registered with the Insolvency Service in 2021 terminated within one year of being approved.…
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More than 900,000 more households across England, Scotland and Wales will benefit from the government’s £400 help with energy bills, as an online application portal opens today (Monday 27th February 2023). Households without a direct relationship to an electricity supplier, such as those living in park homes and care homes, can now apply via a…
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Ofgem has said that energy firms should start compensating customers whose homes were wrongfully fitted with a PrePayment Meter (PPM), without waiting for the results of a major review The energy regulator has announced the launch of urgent work with stakeholders to look at what further protections may be needed within the rules, regulations and…
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Households with energy prepayment meters in their homes are nearly twice as likely to dip into debt due to the cost of living crisis than others, according to new data. The Office for National Statistics (ONS) found that 26% of adults who pay for their gas or electricity up front, reported using credit because of…
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Research by Cornwall Insights has predicted that energy bills will rise by an estimated £500 a year despite an expected reduction in Ofgem’s household energy cap. Cornwall Insight predicts the cap for a typical household will be £3,294 equivalent per year meaning that customers will pay about 20% more on their bills, approximately £500, as…
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