UK Debt: November 2022 statistics
November 30, 2022UK Debt: January 2023 statistics
January 31, 2023
December is always a more expensive month given the festivities. The cost of living crisis combined with stagnant and falling wages, plus increased inflation rates means that the UK is facing a very bleak Winter. The Money Charity has released the debt statistics for December 2022.
Snapshot of UK debt December 2022
- The inflation rate has stayed at 11.1% since last month
- Average credit card debt per household stood at £2,252 in October 2022 which is yet another monthly increase
- There was no change in the price of unleaded petrol during November 2022
- 8.9% increase in the average first time buyer house price to the year to September 2022
- The average total debt per household is £65,746 in October 2022 which has risen from £65,618 last month
- Total unsecured debt stands at £3,895 per adult in October 2022 which has increased
- It takes 21 years on average to save for a first time buyer house deposit, saving at the average rate out of the average UK income. This has fallen from last month’s statistic set at 22 years
UK Personal Debt
Remember that you can view the statistics from last month here in order to compare with the December 2022 debt statistics.
- 338 people per day were declared bankrupt or insolvent in England and Wales from August to October. This equates to one person every 4 minutes and 16 seconds. This has increased since last month’s statistics
- Borrowers paid £142 million per day in interest in October 2022
- 815 people per day were made redundant from July to September
- Government debt increased by £466 million per day in the three months to October 2022
- The Citizens Advice Bureau dealt with 2,105 debt issues every day in the year to November 2022 which is steadily increasing
Amidst rising inflation and falling wages, many have turned towards credit to pay for Christmas. This is not unusual as shown in previous years, however the cost of living crisis means that many will be unable to meet their repayments in the new year and will therefore be pushed further into debt.
The Bank of England has reported that households will have spent on average an extra £740 this month to pay for Christmas. This is a 29% increase than the usual monthly spend.
This Christmas, consumers have not necessarily had to get credit to pay for presents. Food is reported to have risen on average by 18% in the last year. Inflation has risen on food by 16.2% and these statistics have had a negative effect on UK adults. 54% of adults have reported mental health issues due to concerns about their finances.
If the past year has had a negative impact on your financial situation, or you are facing increasing debt costs over the next few months, feel free to call us for a discussion on what debt solutions could be available to suit your personal situation.
