Our briefing on the rising cost of living
Collision course: A snapshot of the challenges facing households on the cost of living
Through our National Debtline and Business Debtline services, we see the sharp end of the current challenges facing households on income, costs and bills. However, the impact of rising inflation, energy costs and out-of-pace incomes are far-reaching.
Our latest briefing, based on a poll of more than 2,000 adults, shines a spotlight on the financial challenges UK households are already facing and the difficulties that lie ahead for many more as the cost of living continues to rise.
Key findings
- One in seven UK adults (an estimated 7.9m) are already behind on at least one household bill
- An estimated 6.2 million have gone without energy, water or electricity in the last three months due to rising costs
- One in five UK adults expect to have to borrow money or use credit to cover their essential costs in the next three months
- Only one in five UK adults feel prepared to deal with further rising costs
Our recommendations
The support provided to help households so far is welcome, but the Government needs to go further to meet the scale of the challenge by:
- Significantly uprating benefits and pausing benefit deductions
- Providing a package of targeted support for people struggling with household bills
- Working with regulators and creditors to ensure people in debt are treated fairly
Latest research and reports
The Money Advice Trust is committed to a programme of research which enhances understanding of the debt and credit environment and practically improves money advice. Find all of our latest research and reports here.
