Credit, Collections & Insolvency News
New research from Money and Mental Health Policy has highlighted the urgent need for more joined-up mental health and debt support during the cost of living crisis. The report shows that people who have had mental health problems in the past two years are three times more likely to be behind on at least one…
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Rising interest rates have caused household wealth across Britain to fall by £2.1 trillion over the past year, but there are winners – concentrated among younger generations – as well as losers if higher rates are sustained, according to major new analysis by the Resolution Foundation and abrdn Financial Fairness Trust. The report notes that…
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Almost a third of people are struggling to afford their mortgage repayments, new research from the Office of National Statistics (ONS) statistics have shown. The survey showed that 43% of renters and 28% of mortgage holders say they are struggling to keep up. The difference between renters’ and mortgage holders’ likelihood of experiencing some form…
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A number of national news outlets are reporting that the Treasury is considering shelving plans to regulate the Buy Now Pay Later (BNPL) industry. Following news that there could be delays to regulation of the Buy Now, Pay Later sector, Richard Lane, Director of External Affairs at StepChange Debt Charity, said “We’re alarmed to read…
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Latest research by Octane Capital, has shown that cases of arrears in the buy-to-let sector are worsening at a faster rate than for homeowners. The figures show that the number of mortgages that have fallen into arrears by 2.5% or more of the mortgage balance, comparing the split between the buy-to-let and residential sectors and…
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New IFS research, funded by the Joseph Rowntree Foundation (JRF), shows that 48% of 50- to 70-year-olds who had recently left the workforce in 2020–21 ended up in relative poverty. This was significantly higher than the percentage of individuals who were in poverty after leaving the workforce in pre-pandemic years – even though overall poverty…
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One in five (3.4 million) people aged 50-69 and one in twelve of over 70s (670,000) in the UK have had to borrow more money or use more credit than usual in the last month compared to a year ago, new research by Age UK has found. The analysis showed that 1.3 million over 50s have a…
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The number of households struggling with heavy debt has increased by two thirds since 2017, according to charity Debt Justice. The report shows that around 12.8 million adults in the UK are falling behind on bills or finding repayments a struggle. The Financial Conduct Authority’s Financial Lives survey found that 7.7 million adults in the…
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The Financial Conduct Authority (FCA) has made rulebook changes in an effort to grant households relief from rising mortgage rates. Lenders will be able to offer borrowers a switch to interest-only payments for six months. They will also be able to offer an extension to mortgage terms to reduce monthly payments, with borrowers given the…
Read moreChancellor of the Exchequer Jeremy Hunt agreed a new action plan with regulators to try to ensure consumers are being treated fairly and help those struggling to make payments. As part of the government’s plan to halve inflation this year, the Chancellor chaired a roundtable with CEOs from the Competition and Market Authority (CMA), Financial…
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Latest analysis of credit card data from FICO has painted a picture of considerable consumer financial volatility as the dual pressures of higher inflation and higher interest rates squeeze funds. FICO says the ongoing inflationary challenges faced by consumers continue to be reflected in higher levels of credit card spend, compared to 2022 – with…
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5.7 million low-income households are having to cut down or skip meals because they don’t have enough money for food, while the number going without items such as food, heating or basic toiletries (63%) has remained around 7 million for more than a year according to latest analysis by Joseph Rowntree Foundation (JRF). The research…
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In a new report published on Government’s energy bills support scheme, the Public Accounts Committee says it took too long to get support to some of those most in need. While support schemes were introduced quickly, the Government did not have the bandwidth to make sure support reached all groups in a timely fashion. In…
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