In the midst of the ongoing cost-of-living crisis, one in ten adults have missed an energy bill payment since the start of the year, according to research from The Mortgage Lender (TML).
Consumers across the country are feeling the squeeze when it comes to their finances, with inflation and interest rates increasing, as well rising energy, fuel and grocery costs.
This is having a significant impact on consumers’ ability to meet their everyday expenses, as over 14% admitted to missing a payment of a regular utility bill.
Peter Beaumont, CEO of The Mortgage Lender, commented: “There is no denying that we are in difficult times.
“For many, the sheer cost of energy and utility bills, or even the thought of them rising, is unnerving, […] some have already had to miss their regular payments in order to get by.”
The research also sought to understand how much energy bills would need to increase before adults are unable to afford paying them.
16% of people said they would not be able to afford their energy bill if it went up by 1-10%, while 17% said the same if it rose by 11-25%.
An alarming 6% of people revealed they already cannot afford to pay their bills.
Furthermore, research shows that these rising costs are disproportionately affecting certain regions and age groups.
Over a quarter (24%) of young people said they would consider missing their energy bill, as 29% of 18-34-year-olds claimed to have already missed an energy bill payment this year.
This is double the national average.
Similarly, Londoners have also been struggling to pay, with nearly a third (30%) saying they’ve missed an energy bill payment in 2022.
Beaumont added: “[Rising bill costs] could have a significant impact on an individual’s credit score, and ultimately their ability to access loans such as a mortgage, whether a first-time buyer or an owner re-mortgaging.”
He advised: “If anyone is struggling to pay, it’s vital they speak to a mortgage broker as there very well may be options that are still available to them.”
