Paul McDougall

Utility debt in the UK has become a significant financial burden for many households. This debt reflects the challenges faced by households due to rising energy costs and other financial pressures, leading many people to struggle with paying their utility bills on time.

As winter approaches and temperatures begin to drop, it’s more important than ever to ensure your finances are in order. With energy prices on the rise, many households are facing tough decisions about how to manage their bills and keep their homes warm.

Paul McDougall, insolvency practitioner at Wbg, said: “To help alleviate this burden, we are urging individuals and families to take proactive steps now to sort out any outstanding debts and better prepare for the colder months ahead.

“Winter can be a challenging time financially, with higher heating costs putting additional strain on household budgets. For those already struggling with debt, the situation can quickly become overwhelming.”

Mr McDougall said that by addressing debt issues now, households can create a more manageable financial situation that allows them to prioritise essential expenses like heating their home.

Key steps to take:

• Assess Your Debts: Take stock of all your outstanding debts, including credit cards, loans, and unpaid bills. Knowing exactly what you owe is the first step towards taking control of your financial situation.
• Prioritise Essential Bills: Make a list of your essential expenses, such as rent/mortgage, utilities, and groceries. Prioritise these over non-essential spending to ensure that your basic needs, including heating, are met during the winter months.
• Seek Professional Advice: If you’re feeling overwhelmed, don’t hesitate to seek help. Debt advice offer guidance on how to manage your debts, negotiate with creditors, and create a realistic budget.
• Set Up a Budget: Creating a budget that accounts for increased winter expenses can help you manage your money more effectively. Include a plan for paying off debts in a way that doesn’t compromise your ability to heat your home.
• Explore Financial Assistance: Check if you’re eligible for government grants or programmes that can help with energy bills or offer debt relief. This assistance can provide vital support during the colder months.