“With the amount of money our clients have leftover each month after covering the basics becoming more stretched, it’s a real concern that people don’t have the safety nets to fall back on if they’re faced with a shock that impacts their finances like ill health or redundancy.”
With the cost of essential bills rising rapidly over the course of the last two years, the average amount of household arrears among StepChange clients has risen to £3,124. It’s up from £2,833 in 2022.
The charity continues to see a high number of women seeking debt advice, with more than three in five (63%) of all new clients being women. People aged 25 to 44 represent 60% of the client base.
The proportion of clients in receipt of universal credit rose by 3%, up to 37%, in 2023 in comparison to the previous year.
Brownridge added: “As we edge ever closer to a general election, we’re urging this government and the next to really focus on building financial resilience among households. Measures like social tariffs for essential utilities, a robust and adequate benefit system and a commitment to building low-income savings, would make a real difference to the lives of those struggling day in and day out just to get by.”
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Where to get help if you are struggling with debt
StepChange provides confidential and free expert advice on debt, as well as tips on budgeting, financial advice, and ways to prioritise your debts.
Citizens Advice provides help to deal with problem debt, to avoid losing your home and to get back on top of your finances.
Money Advice Trust operates a confidential national debtline which is available over the phone or via webchat.
Mental Health & Money Advice provides practical tips to lessen the strain of the financial crisis and maintain your mental wellbeing.
MoneyHelper offers guidance to help you through the often-stressful situation of talking to a creditor about money you owe them, how to navigate credit and Buy Now Pay Later agreements, and other money concerns.
