Credit, Collections & Insolvency News
The Government has hosted a roundtable with the Financial Conduct Authority (FCA), Martin Lewis of Money Saving Expert and mortgage lenders to discuss what support some mortgage borrowers may need. Following the meeting, mortgage lenders have agreed to take a more consistent and supportive approach to homeowners struggling with the cost of living crisis. Bank…
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Nearly four in ten people feel their finances are in a state of chaos, as bills, taxes, food prices and transport costs put a strain on their income. A poll of 2,000 UK adults found 27 per cent are currently in some kind of unsecured debt, estimating it will take them over three years to…
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New research by Credit Karma has found that nearly one in three (30%) have no money set aside for increased energy costs this winter. The cost of living crisis threatens the Christmases of 11 million people as concerns over energy prices prompt them to cancel or abandon plans. The total gas and electricity used for…
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New research by Ofwat has whown that more customers are struggling with household bills and that two-thirds expect their situation to worsen in the coming year. The research found that in order to try and cope, many are borrowing money from friends and family, taking out loans or getting deeper into debt. Alarmingly, 75% of…
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Latest StepChange debt charity client data from October 2022 shows the cost of living is still the number one driver of debt among new clients, although the proportion of new clients with gas and electricity arrears fell compared to September. Since the start of October, when the government’s energy price guarantee was announced, the proportion of…
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Here is an overview of The Money Charity’s latest statistics for November 2022 Personal debt in the UK People in the UK owed £1,823.6 billion at the end of September 2022. The average total debt per household, including mortgages, was £65,618 and per adult was £34,480, around 107.2% of average earnings. Net mortgage lending rose by…
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Ofgem has said that energy firms have been failing vulnerable customers. The energy regulator Ofgem has told all 17 firms in its review to improve, with Good Energy, Outfox, So Energy, Tru Energy and Utilita found to have severe weaknesses. Ofgem said that initial assessment and ratings were formed, many suppliers have already responded positively…
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Intrum’s annual European Consumer Payment Report has shown that inflation is a major concern for consumers. Consumer confidence has plummeted, and more than a third are struggling to make ends meet. Surging inflation has created a wave of financial anxiety as households struggle to meet their commitments. Two out of every five believe they will…
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Older people will spend a higher share of their income on energy bills this winter than other age groups – with the over-75s expected to spend 8 per cent of their total household income on bills, even with significant government support – but younger households are most at risk of being unable to pay bills…
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Anglian Water has announced a £135 million support package for customers struggling to pay their bills, which will include discounts on tariffs of up to 50%, as well temporary payment plans, forgiveness schemes and payment breaks. The company said the financial assistance is expected to help around 330,000 customers over the next year. Anglian Water…
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The Joseph Rowntree Foundation (JRF) has reported that an extra 120,000 households in the UK, the equivalent of 400,000 people, will fall into poverty when their current mortgage deal ends. The analysis assumes homeowners will be forced to borrow at an interest rate of 5.5%. With a current norm of 2% this change would mean…
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Debt charity, StepChange has reported that once again, September saw the cost of living being the most commonly cited reason for debt among new clients, with more than one in five (22%) saying it was a cause of difficulty. The proportion of clients with energy bill arrears also continued to creep up. Among clients with…
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Uswitch is calling on the Government to ensure that prepayment meter customers at risk of self-disconnection are considered the highest priority for additional support beyond April 2023. Uswitch says that the energy crisis has reversed a long-term trend for falling numbers of prepayment meters, putting thousands more households at risk of self-disconnection. From the middle of…
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