Since we’ve all just celebrated Christmas and probably all had our families come round for Christmas dinner, you might not be surprised to hear that it’s one of the most expensive times of year. This takes in to account of all the different kinds of food and drink we buy for Christmas dinner, all the different presents we buy for members of the family as well as the many house hold items and other pieces of equipment that we’ll need to accommodate them so we can spend time together during the holidays.
Taking all this in to account, you might not be surprised that thousands more people are searching for debt support and advice at the time of year. It has been predicted that inflation is set to continue to rise in 2025 meaning the costs of many household items is going to continue to rise to what may seem a some what uncontrollable level. This can leave many people out of pocket and unable to afford the items they need in their daily lives.
The rate of inflation is estimated to reach 3.5% in the early part of the year. That’s according to the National Institute Of Economic and Social Research.
According to a free money advisory service, nearly 4,000 people searched for debt help over Christmas.
3,994 people visited Money Wellness’ website on Christmas Eve, Christmas Day, and Boxing Day for advice on dealing with unmanageable debt.
Almost 2,000 (1,835) people in London searched for support, followed by 461 in the Midlands. 310 people in the North West read up on debt help, with Manchester and Liverpool seeing the greatest number of searches. This was followed by 202 in Yorkshire, 183 in East England, 175 in the South West, and 101 in the North East.
Wales recorded 88 searches with 66 coming from Scotland and Northern Ireland each.
The latest data comes out ahead of another period when we are all likely to feel the pinch when we go out and about as we’ll have to keep an eye out for the different prices which are around when we go out to do our daily or weekly shop. With prices rising around the country, more and more people will be pushed on to benefits and have to struggle to manage their every day lives.
Sabrina McCullough, director of external relations at Money Wellness, comments: “We always see an increase in the number of people seeking free debt help in January after Christmas debt repayment demands land.
“But this year we’ve seen an increase in the number of people seeking support over the festive period, with around 700 people starting our online debt advice journey over the three days. This is the result of continued pressure on household finances.
“With energy bills set to rise again in January and other essential bills to go up in April, we believe the New Year could be particularly challenging for millions of households. The cost of living crisis is far from over.
“Anyone struggling to make ends meet or worried about what the New Year will bring for their finances should seek free, impartial support. There are several solutions available depending on your circumstances. No one shouldn’t feel they need to struggle on alone.”
It has been recommended that people take many steps to help them avoid going in to uncontrollable debt or arrears. This includes:
The first step to getting your finances under control is creating a budget. Use free online tools to help you work out how much you have coming in and going out each month. Once you’ve done this, you can see if there are areas where you can cut back. Take immediate action if you find yourself with a budget deficit, with more money going out than you have coming in.
It is possible to make major savings on your house hold bills by just shopping round and looking for the best value you can find. This might include finding some what package deals where you can buy one thing together with another at a cheaper rate.
£23 billion worth of benefits went unclaimed last year. Many people think they don’t qualify because they’re working, but this isn’t the case. Around 71% of all people claiming universal credit also have a job. Check to see if you could quickly boost your income to help with living costs by using free online benefit tools.
Grant help
There are hundreds of grants and other support available to help with living costs. Some are offered by the government and delivered by your local council, such as the household support scheme, which could give you cash or vouchers to help with energy and food bills. You might also be able to get help from charitable grants depending on your background, circumstances and needs.
