New data reveals it is becoming increasingly difficult for people in the UK to pay off their debt – especially more affluent households.
By the end of this year, the richest 20% of the population will see their ability to meet debt repayments fall by more than twice as much as the poorest 20%, according to information from Oxford Economics and Harvgreaves Lansdown.
“It’s going to be a stretch, all the luxuries are going to have to go,” says Becky Portsmouth, a council worker from Basingstoke.
Becky and her partner have a combined income of £54,000 a year. This is above the UK average, but they are are still struggling with rising prices and mortgage payments. They are not alone.
On average, people with Becky’s household income will see a 5.8 percentage point fall in their ability to pay off debt.
“We have always wanted to work to live, not live to work,” she says. “But at the moment, we just have to work and pay bills and that’s going to be it.
“We have an increased mortgage for a new house and with childcare costs on top, as well as all the extra bills, it’s just got…
