Everyday in the UK
Personal Debt in the UK
The population of the UK grew by an estimated 777 people a day between 2019 and 2020.
- On average, a UK household spends £4.15 a day on water, electricity, and gas.
- 346 people a day were declared insolvent or bankrupt in England and Wales in February 2022 to April 2022. This was equivalent to one person every 4 minutes & 10 seconds.
- In Northern Ireland in February 2022, there were 5.4 insolvencies per day and in Scotland in the three months to March 2022 there was 21.0 insolvencies per day.
- Citizens Advice Bureaux in England and Wales dealt with 2,004 debt issues every day in the year to April 2022.
- 4.2 properties were repossessed every day in October to December 2021 in the UK, or one every 5 hours and 40 minutes.
- The number of UK mortgages with arrears of over 2.5% of the remaining balance rose by 11.7 a day in the year to December 2021.
- The number of people unemployed in the UK fell by 1,085 per day in the twelve months to March 2022.
- 778 people a day reported they had become redundant in January to March 2022.
- Net lending to individuals and housing associations in the UK grew by £273.1 million a day in March 2022.
- Government debt increased by £467 million a day in the 3 months to April 2022.
- Borrowers paid £126 million a day in interest in March 2022.
- It costs an average of £24.44 per day for a couple to raise a child from birth to the age of 18.
- For a lone parent family, the cost of raising a child comes to £29.50 per day.
- 27.9 mortgage possession claims and 18.0 mortgage possession orders were made every day in England and Wales in October to December 2021.
- 157 landlord possession claims and 74.4 landlord possession orders were made every day.
Arising from Coronavirus pandemic
During the pandemic, health, economic and policy impacts have interacted with each other. The UK is also currently facing a worsening cost of living crisis – with rising inflation arguably linked to pandemic-related economic disruption. Following are some striking numbers that have emerged in the last few weeks:
The proportion of people with mental problems who had debts between £2,000 and £20,000 during the pandemic (Money and Mental Health Policy Institute).
The decline in cash withdrawals in Liverpool Walton in February 2022 (measured from the start of the pandemic). In Bradford South, the rate of decline was 20%. These two constituencies had the lowest decline in cash withdrawals after the pandemic in the country; to illustrate, the average fall in cash withdrawals across the UK was around 40%. Liverpool Walton and Bradford South are also two of the most deprived constituencies in the country. There seems to be a link between reliance on cash and deprivation: the figures suggest that people living in more deprived areas are more reliant on cash. This could be to do with people living in deprived areas being more likely to experience financial and digital exclusion, which means having unequal access to or reduced capacity to use basic financial products such as bank accounts, or digital tools such as mobile phones (RSA).
The percentage of households who reported in September 2021 that loan and interest repayments were a heavy financial burden. This is a 35% increase on the previous year’s figures. As the Bank of England have raised interest rates four times since September 2021, it is likely that this financial burden is felt even more heavily now (Bank of England).
The percentage of those using credit as a safety net (which means the use of credit to meet essential costs by those facing financial difficulty) who have used at least one form of revolving credit, such as credit cards and overdrafts (StepChange).
Around three quarters of the rise in inflation in April came from higher electricity and gas bills
Statistics Source: http//www.themoneycharity.org.uk
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