Households are facing soaring bills. The cost of living crisis is starting to be seen based on the recent statistics with experts in the financial fields becoming increasingly worried about what is to come.
Last month, the inflation figure had soared to 5.4% (the highest rate for nearly 30 years) and this has further increased by the end of February 2022 to 5.5%. In order to control inflation, the Bank of England raised the base interest rate from 0.25% to 0.5% which could be bad news for some borrowers already finding it difficult to repay debts.
The Money Charity also reported that 1.3 million more people are now claiming Universal Credit than at the start of the pandemic and that 1 million adults have gone an entire day without eating because they cannot afford to put a meal on the table.
Very worrying times to read this from a first world country. We are looking towards next month’s mini budget where hopefully the Chancellor will address the worsening cost of living crisis for people in the UK. (EDIT – you can read about the mini budget/Spring Statement here)
If the past year has had a negative impact on your financial situation, feel free to call us for a discussion on what debt solutions could be available to suit your personal situation.