UK Debt: October 2021 statistics

The October debt statistics compiled by The Money Charity have been released. Let’s take a look at them.

Snapshot of UK debt October 2021

• 395,000 18-24 year olds were unemployed in the three months to August 2021 which has decreased from July
• 9.9% increase in the average first time buyer house price in the year to August 2021 
• Private rental prices increased by 1.3% in the year to September 2021
• Average credit card debt per household stood at £2,033 which has increased from August
• Total unsecured debt stands at £3,737 per adult in August 2021
• Average total debt per UK household is £62,813 in August this year

UK Personal Debt

Remember that you can view the statistics from the first quarter of 2021 here in order to compare with the October debt statistics. September 2021 statistics can be found here. 

• The UK population owed £1,745.7 billion at the end of August, which is an increase of £64.1 billion in the year or an extra £1,212 per adult
• The average total debt per household is £62,813 and per adult is £33,006
• On average, a UK household spends £4.33 per day on water, electricity and gas
• 306 people per day were declared insolvent or made bankrupt in England and Wales in July to September 2021 which amounts to one person every 4 minutes and 42 seconds which is an increase from the September statistics
• 1,076 people per day were made redundant from June to August 2021 
• UK mortgages moving into arrears of over 2.5% of the remaining balance rose by 4 per day
• 27.5 mortgage possession claims were made daily in England and Wales in May to July 2021
• 77 landlord possession claims and 49.5 landlord possession orders  made daily
• UK unemployment fell by 90 per day in the year to August 2021

There is a shift happening, albeit a small shift. Whilst on the surface, the figures do not look too different from the last few published statistics, there is movement. Unfortunately this movement is towards one where life is significantly more expensive.

Personal debt has risen. Unemployment figures that have been released seem to be positive, yet the redundancies figures are slowly rising. Due to the effects of Brexit, the ongoing global uncertainty with the pandemic and the rising prices of gas, we are looking at a situation where costs will increase and household budgets will be further tightened.

If the effects of the pandemic have had a negative impact on your financial standing, feel free to call us for a discussion on what debt solutions could be available to suit your personal situation.