Worries about housing costs hits the highest levels ever recorded

Four in five homeowners (79%) and renters (81%) are worried about housing costs – this highest rate ever recorded, according to consumer champion Which?.

Its Consumer Insight Tracker has been recording housing cost worries since 2013.

Over the past two years, the tracker has shown a steady increase in concern amongst renters, with six in 10 (62%) saying they were concerned in August 2021.

However, with the continual rise in interest rates, its homeowners who are feeling the most anxious. Before December 2021 – when interest rates started to creep up – around half of mortgage holders were worried, compared to 4 in 5 in August this year.

The rise in concern didn’t correlate into people missing payments in August, with a fairly static 630,000 not being able to make a repayment.

This could be because they’re defaulting on other bills with 2.2 million households missing essential payments such as loans or credit cards.

More worryingly, two thirds (61%) of those who missed a bill reported that they’d missed more than one, suggesting they’re already in a downward spiral of debt.  

The Bank of England is expected to raise interest rates again on 21^st September, piling more pressure on household finances.

If you’re missing payments or struggling to afford essential bills, then you should seek free debt help immediately. There are a number of solutions available - we can help you find the one that's right for your individual circumstances.