“Today’s figures will mean even more pressure for the millions of households already struggling to make ends meet. Rises in the cost of living combined with the expected slow-down in wage growth will put stretched household budgets under further strain and expose many to a greater risk of debt problems. Around 8.8 million households are already using credit to cover their basic living expenses, but tougher economic conditions means that this figure is likely to rise.
“Headline inflation might be pushed up by short term factors, but the underlying reality is that basic costs are going up for many families. Hardest hit will be those with least resilience, and for many it will be harder to avoid debt problems in future.
“The issue of problem debt is one that needs to be taken seriously by politicians of all parties. It’s a problem that costs the UK an estimated £8.3bn. We need to see fewer people falling into problem debt and problem debt causing less harm when it does strike.”