Women and young adults account for high proportion of debt charity’s clients

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A comparatively excessive proportion of girls and youthful adults are in search of assist with their money owed, based on a charity.

Greater than three in 5 (63%) new shoppers are girls, StepChange Debt Charity mentioned.

Shoppers aged between 25 and 44 are additionally over-represented, making up 60% of the shopper base, it added.

Total, practically one in three (32%) folks getting assist from StepChange Debt Charity final yr had been in a damaging funds – the place that they had extra money going out than coming in.

The proportion of shoppers receiving Common Credit score, at 37%, elevated by three proportion factors in 2023 in contrast with 2022, and StepChange mentioned it continues to see renting as the most typical housing tenure amongst shoppers (64%).

The common month-to-month quantity out there to shoppers for debt reimbursement (their surplus) fell from £69 in 2022 to £53 in 2023.

Value-of-living pressures had been the most typical purpose for debt, cited by 1 / 4 (25%) of individuals in search of assist.

The common quantity of family arrears amongst StepChange shoppers elevated to £3,124 in 2023, up from £2,833 in 2022.

Typical unsecured (non-mortgage) debt amongst shoppers reached its highest degree since 2013, standing at £14,654 in 2023, up from £13,563 in 2022.

This rise has primarily been pushed by larger quantities of bank card and private mortgage money owed, the charity mentioned.

In 2023 the charity offered full debt recommendation to 183,403 shoppers, which is a rise of 10% year-on-year.

Vikki Brownridge, chief government at StepChange Debt Charity, mentioned: “Over the previous yr we’ve actually begun to see the affect of the cost-of-living disaster take maintain. Significantly amongst these on low incomes, family monetary insecurity is a rising menace.

“Each an increase in family arrears and unsecured debt quantities suggests these struggling are turning to credit score to cowl their necessities greater than ever.”