Hundreds of thousands of households across the UK are now ensnared in a severe debt crisis, with many resorting to desperate measures just to cover basic living costs, according to stark new figures.
Scale of the Crisis: A 44% Surge in Demand
The charity Citizens Advice has disclosed that it provided support for a staggering 407,416 individuals grappling with debt issues throughout 2025. This represents a dramatic 44% increase in the demand for help since 2021, painting a clear picture of a problem that is rapidly worsening rather than receding.
The alarming trend has continued into the new year, with 13,300 people reaching out for support in the first week of 2026 alone. The financial burden carried by those seeking help has also grown substantially, with the average debt now standing at £8,900 – a jump of more than a third in recent years.
Who is Being Hit Hardest?
The data reveals that the crisis is not impacting everyone equally. Vulnerable groups are bearing the brunt of the financial strain.
Over half of people with disabilities or mental health conditions who are in problem debt reported being unable to afford food. Women are also disproportionately affected, with 39% of women in debt struggling to pay for basic necessities, compared to 31% of men.
For many, the situation is compounded by aggressive tactics from creditors. Nearly two-fifths of those in debt feel overwhelmed by constant phone calls and letters. In some severe cases, the pressure has led to essential services like gas, electricity, or mobile phones being disconnected.
Calls for Reform and Where to Find Help
Despite the severity of the situation, awareness of a key government safety net remains dangerously low. Only a quarter of those in problem debt know about the existence of the government's 'Breathing Space' scheme, which is designed to offer legal protection from creditor action.
Citizens Advice is now urging ministers to revamp and strengthen the scheme. Their proposals include extending the length of the protection period and introducing stricter penalties for creditors who break the rules.
Experts advise anyone struggling with debt to take several crucial steps:
- Organise your financial documents.
- Seek free, professional advice from services like Citizens Advice immediately.
- Engage with creditors early, rather than ignoring the problem.
- Ask an advisor to check your eligibility for additional benefits or support.
These actions can provide a vital lifeline for those feeling isolated and overwhelmed by their financial circumstances, offering a pathway to regaining control.
