Millions of Brits struggling with bills – watchdog

One in four UK adults are in “financial difficulty,” the FCA says

Nearly 32 million people, or 60% of all UK adults, are finding it a heavy burden or somewhat of a burden to pay their bills, a survey by the Financial Conduct Authority (FCA) showed on Friday.

According to the research, which was carried out between February and June, the total was up six million from 2020, when the economy went into lockdown to fight the coronavirus pandemic.

“One in four UK adults are in financial difficulty or could quickly find themselves in difficulty if they suffered a financial shock,” the report said, noting that 4.2 million people have missed bills or loan payments in at least three of the six months before the survey took place.  

It also found that people living in the most deprived areas of the UK are nearly seven times as likely to be in financial difficulty compared to those living in the least deprived areas. The watchdog said that “12% of people in the North East and 10% in the North West are in financial difficulty, while 6% of people in the South East and South West are in the same position.” 

According to the report, the FCA has issued a reminder to banks on how to support customers in financial difficulty, encouraging them to contact providers in the first instance to discuss options.

The financial regulatory body, operating independently of the UK government, says that the survey is the largest of its kind, having conducted interviews with more than 19,000 people.

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