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The BBC survey suggested the majority of adults in debt didn’t ask for advice and help in managing their financial issues. Out of the 1,000 people who took part in the survey, they found 69% of adults in debt didn’t ask for help or guidance.
A recent survey found that an increasing number of people are struggling with household debt. The Money Advice Trust (MAT) helped 150,000 people with household debts last year which is up 140% since 2007.
Household bill debts include basic household bills such as electricity and energy bills, water and council tax. MAT highlighted that fewer people contacted them for help with traditional credit issues such as credit card loans and overdrafts.
Chief Executive of MAT, Joanna Elson said; “The gradual erosion of some families’ surplus income in the face of rising prices has led to a new generation of debt problems, one to which more people are vulnerable, one which is harder to resolve, and one which has no definitive solution.” She went on to say; “We’re hearing from more people in serious debt difficulty as a result of debts totalling less then £5,000. When there is little room in a household budget to meet basic expenses, paying off debts can seem impossible.”
According to MAT, rising household bills combined with falling incomes, have meant an increase in the number of people in the UK struggling with serious debt.
They noted a shift in the type of debt problems, with people seeking advice on household bills increasing. The number of calls they receive about council tax arrears have doubled and calls about energy bills have risen by 171%. The largest increase they recorded was the number of people seeking help with water bill arrears, this increased by 305%.
Back in 2007, around 20% of people who called the MAT helpline were struggling with debts under £5,000. Whereas by the end of 2013, it had increased to 40%.
A survey by Comres (for the BBC) found people in debt are often extremely hesitant to ask for help. The survey suggested the majority of adults in debt didn’t ask for advice and help in managing their financial issues. Out of the 1,000 people who took part in the survey, they found 69% of adults in debt didn’t ask for guidance.