Access to support “becoming more urgent”

It comes as further evidence of the rising cost of living, with the Bank of England’s money and credit figures showing consumer credit growth at 5.7% in May 2022. The annual growth rate of credit card borrowing and other forms of consumer credit was 11.2% with outstanding balances for consumer credit now standing at £202.2bn. 

These figures - according to Money Advice Trust’s director of external affairs and partnerships Jane Tully - are a “worrying sign of the continued strain on UK households’ budgets”. 

She added: “At National Debtline we regularly see people relying on credit to cover essential costs such as food, energy and council tax - more often than not, it is a sign of financial difficulty.

“With consumer credit borrowing growing over the last 12 months, and rising costs showing no sign of abating, there are real concerns struggling households will find it difficult to repay when the time comes.

“While the government has introduced welcome support to help with rising costs, accessing this support is becoming more urgent for people who are having difficulty meeting their basic costs.”