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Energy bills top the list of money worries for households in 2025, as a debt charity reveals 4,000 people went to its website on Christmas Day
More than 21 million people expect their finances to worsen over the next year – despite the cost of living crisis supposedly easing.
Energy bills continue to be a major cause of concern, the research for debt charity StepChange found.
In a sign of how worried many people are, nearly 4,000 people visited its website looking for debt advice on Christmas day alone. A survey for the charity showed that more than two in five adults – equivalent to 21.3 million people – expect their financial situation to deteriorate over the next 12 months.
While inflation has come back down towards the Bank of England’s 2% target, experts say many households after struggling from the accumulated impact of high prices over several years.
One bill still causing families distress is energy, which for most remains at budget-busting levels. Regulator Ofgem’s energy price cap rose again from the start of January.
Almost three in five of those expecting their finances to get worse said it was due to higher energy bills. In another finding, one in six adults said they always worry about money, while a further 59% said they often or sometimes do so.
While these financial concerns are widespread, certain groups are more affected than others. Women, in particular, are more likely to feel the financial strain, as over one in two (58%) report worrying more about money than they did a year ago, compared to just under half (48%) of men.
Vikki Brownridge, chief executive at StepChange, said: “It’s clear that millions of people across the UK are feeling the weight of financial uncertainty. The cost of living, including stubbornly high energy bills, continues to impact families, individuals, and communities, with particular strain being felt by women and those with parental responsibilities. What’s concerning, is how many are facing worries about their finances going into 2025, even more so than this time last year.
“These challenges are not temporary. They reflect the long-term financial pressures many are facing and without the right support, it’s only going to get harder for people to manage their finances.
“We know that debt is often a consequence of these mounting pressures, and for many, seeking help as early as possible can make a significant difference. If you are struggling, speak to your creditors who have a responsibility to support those in difficulty. And if you need specialist debt advice, StepChange is on hand to offer practical support for those who are struggling, with advice on managing debt and budgeting, so people can regain control of their finances in 2025.”
