Credit card borrowing rises at fastest annual rate in two years

Latest Bank of England data has shown that credit card borrowing rose at the fastest annual rate for almost two years in November.

Net borrowing through credit cards was £1 billion, up from £700m in October 2025. Net borrowing of consumer credit by individuals increased to £2.1 billion in November from £1.7 billion in October.

Borrowing through other forms of consumer credit (such as car dealership finance and personal loans) slightly increased in November, to £1.1 billion from £1 billion.

Simon Trevethick, Head of Communications at StepChange Debt Charity, said, “For many households, the increase in consumer credit borrowing in November may reflect the reality that everyday costs are becoming harder to manage without turning to credit. The increase could also indicate people borrowing more in preparation for the festive period – our own polling found that 14 million people would struggle to afford Christmas.

“While some people will be able to repay any additional borrowing, others risk carrying balances into the new year and beyond. No one should feel they have to cope with problem debt on their own. Free, impartial debt advice is available, and speaking to a charity like StepChange early can make a real difference, helping people stabilise their finances, understand their options, and regain control.”

Paul Matthews, Senior Director, Risk, at Broadstone, said, “November saw a strong month for the consumer credit market, as borrowers sought out extra cash ahead of the festive period. Cooling rates should buoy demand for credit in the new year, particularly amid continued cost-of-living concerns and ongoing budget-related challenges.

“However, worries around the job market and no guarantee of hard and fast rate cuts mean that lenders must continue to do their best to support the financial well-being of their borrowers.”