Estimated 1.9m households ‘have missed payments in the run-up to Christmas’
Some 56% of people had made at least one financial adjustment in the past month to cover essential spending, Which? said.
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.An estimated 1.9 million households have missed payments in the run-up to Christmas, according to Which?
Which? combined the findings from a survey of 2,000 people with population figures to make the calculations.
The survey found that around 6.7% of households had missed or defaulted on at least one mortgage, rent, bill or credit payment in the past month in December – which could equate to 1.9 million households if the findings were projected across the UK.
Missed payment rates generally tend to be lower in the lead-up to the festive period and peak in January, when many households need to pay back their Christmas expenses as well as their usual household bills, the consumer group said.
We’re worried that many more people could be facing financial crisis in January
Which? said similar research this time last year indicated an estimated 1.7 million households missing at least one payment – a figure which increased to 2.5 million in January 2022.
The consumer group is concerned that another jump could be seen in the coming weeks as households deal with the cost of Christmas on top of the rising cost-of-living.
It said its latest findings indicate that renters are more likely to have missed a housing payment than mortgage holders.
Energy bills, council tax, phone and broadband bills were among the payments that some households reported they had missed.
Nearly six in 10 (56%) people had made at least one financial adjustment – such as cutting back on essentials, selling items or dipping into savings – in the past month to cover essential spending. This potentially equates to an estimated 15.8 million households, Which? said.
This is a significant increase on the four in 10 (42%) seen this time last year, but lower than a peak of two-thirds (65%) making adjustments in September 2022.
People should speak to their provider immediately if they are missing or struggling to afford essential payments such as energy, credit card or mortgage payments, Which? said.
Households can also visit gov.uk to find out more about the cost-of-living help and support available.
Regulators such as Ofgem and charities such as StepChange and Citizens Advice can also provide help and information.
Ofgem’s “energy aware” information, which includes guides and information about consumers’ rights, can be accessed at www.ofgem.gov.uk/energy-advice-households.
Which? has also launched a campaign calling for some businesses to do more to help consumers struggling to make ends meet, including making sure their customer service departments are sufficiently equipped to deal with high levels of queries.
Rocio Concha, Which? director of policy and advocacy, said: “With 1.9 million households missing important payments in the run up to Christmas, we’re worried that many more people could be facing financial crisis in January – as the credit repayments pile up and the cost of living crisis continues to bite.”