Squeezed: 8.1% of mortgage holders failed to pay a utility bill, loan or credit card payment in the month to March 8
Almost one in ten mortgage holders have missed a household payment in the past month, research reveals.
Consumer group Which? found that 8.1 per cent of mortgage holders failed to pay a utility bill, loan or credit card payment in the month to March 8, which is the third highest level it has recorded since records began in April 2020.
Overall, 2.4 million households, or 8.6 per cent, missed at least one bill payment and 15.1 million households, or 54 per cent, reported making adjustments to their budgets to cover essentials, including cutting back, dipping into savings, selling possessions or borrowing money.
On the other end of the scale, households who own their home outright saw a decrease in missed payment of bills to 1.6 per cent, down from 2.8 per cent in February.
National Debtline, a financial advice phoneline, says 64 per cent of its callers report struggling to make ends meet every month.
More than six in ten say they are concerned they will not be able to pay a bill in the next six months.
David Cheadle, chief operating officer at National Debtline, says: ‘This high level of missed payments shows the impossible choices faced by millions.’
With interest rates still high, households are likely to continue to feel the pinch throughout this year, Which? predicts.
Rocio Concha, of Which?, says: ‘We’d encourage anyone who’s struggling to seek advice and reach out to their lender or landlord.’
