Sunday 24th July 2022
At the end of December 2021, UK General government gross
debt was £2,382.8 billion, a scary figure. If we break that down to personal
debt, it is reported that on average, personal debts of approximately £1,176.40
per UK adult were accrued. However, we understand, that some people have far
exceeded this figure and as a result find themselves with unmanageable debt.
Living costs have skyrocketed in 2022. The average price of petrol was 162.75p by the end of April 2022, but is still rising across the country. The energy price cap increased by 12% in October 2021 and 54% in April 2022. The April increase is equivalent to £700 for 'typical' levels of dual fuel consumption paid by direct debit. But it has been reported that there could be a further increase, meaning a 64% energy hike within a 12 month period.
Statistics like this can be scary and unnerving. It is the unfortunate reality that some households and individuals will fall into debt due to the economic changes we are all facing. But there are solutions to support your personal situation and companies like X-debt are here to assist and advise when you are contemplating an IVA.
With the increase in cost of almost everything in the UK, but the average UK wage increase not budging, we are seeing more personal deficits, meaning more and more people are searching for debt management solutions. An IVA could be one such solution, however it is purely down to personal circumstance and a consultation would be required to see if you would be eligible.
In the meantime, we advise people to be frugal with their finances. Shop smart, save more and be prepared for future price increases to ensure you don’t fall into an unaffordable debt
If you are struggling with debt and considering an IVA, please Contact Us Now