Millions of Brits making changes to manage living costs

Millions of people are making changes to their lives to cover essential expenses such as food and bills.

New research from consumer group Which? shows that in February 2025, 51% of households – or 14.3m - made adjustments such as: 

• cutting back on essentials
• dipping into savings
• selling possessions
• borrowing

That’s up from 45% in January.

Meanwhile, many people are putting off major purchases because they’re worried about the financial consequences.

Almost one in three (28%) said they didn’t buy expensive items, such as cars, furniture and electronic devices, last month, because they were concerned about their future household finances.

More households missing essential payments

At the same time, millions of people are falling behind with vital expenses, such as:

• utility bills
• credit card payments
• loan payments
• mortgage payments

According to Which? data, 1.6m households missed essential payments.

But in February, this figure had gone up to 2.1m.

Figures also showed that many are increasingly pessimistic about their financial situation, with 31% saying they expect their finances to worsen.

By contrast, just 23% said they believe their finances will improve.

Help is available

If you’re struggling to keep up with essential expenses, such as utility bills and grocery costs, then ask for help.

We’re here to give you practical and impartial advice and can:

• check you’re getting all the benefits you’re entitled to
• help you create a budget you can stick to
• suggest debt solutions if you’re finding it hard to repay what you owe