East Anglians are the most likely in the UK to be very comfortable with their finances, despite a higher number than average paying the minimum amounts towards store and credit card balances each month, according to the latest research.
The findings from Chiltern Debt Management revealed that almost one in five people in East Anglia said their finances were very comfortable compared to an average of one in eight across the UK.
However, the region had a higher than average number of people making only the minimum payment to their credit or store card balances each month. One in eight compared to one in ten throughout the UK.
Despite this only one in 142 said that their finances were seriously overstretched, the lowest in the UK, compared to one in 50 in London, one in 24 in Lancashire and a UK average of one in 45.
Chiltern’s Joanne Gill says: “Recent interest rate rises mean these numbers could soon be on the increase across the country as more people struggle to manage their household finances against rising debt repayments.
“People in East Anglia need to know that credit and store card balances generally have the highest rate of interest, so to only make minimum payments on these balances prolongs the time spent in debt.
“It’s better to pay debts with the highest rate of interest first and always pay more than the minimum amount where possible.
“If finances do become a struggle it’s always best to deal with it sooner rather than bury your head in the sand and hope it goes away.”
Key Findings
• 19.2 per cent (one in five) people in East Anglia said their finances were very comfortable compared to a UK average of 11.9 per cent and just 7.1 per cent of people in London.
• Only 0.7 per cent of people in East Anglia said their finances were seriously overstretched against 4.1 per cent in Lancashire and a UK average of 2.2 per cent.
• 12.1 per cent (one in eight) of East Anglians said they only make minimum payments to their credit or store card balances, compared to 9.8 per cent (one in 11) across the UK.
Chiltern Debt Management provides an informal solution to help people manage their debts. This involves working with the customer to produce a budget detailing income and necessary expenditure, like housing, food, clothes, bills and transport.
The money left over, once living costs have been accounted for, is known as the disposable income. This is shared proportionately between the customer’s creditors until the client becomes debt free or a change in circumstances means they are able to resume contractual payments to the creditors.
Research Findings
Household finances by gender
| Gender | Struggling | Over-stretched | Paying in full | Minimum payments |
| Female | 14.2% | 2.0% | 36.9% | 11.6% |
| Male | 7.7% | 2.5% | 38.8% | 7.8% |
| Average | 10.9% | 2.2% | 37.8% | 9.8% |
Household finances by age
| Age | Struggling | Over-stretched | Paying in full | Minimum payments |
| 16 – 24 | 11.2% | 0% | 23% | 7.9% |
| 25 – 34 | 10.6% | 1.7% | 37% | 11.5% |
| 35 – 44 | 11.4% | 3.1% | 43.8% | 10.7% |
| 45 – 54 | 14.8% | 4.9% | 42.3% | 13.7% |
| 55 – 64 | 12.5% | 2.2% | 44.8% | 9.8% |
| 65+ | 6.9% | 1.4% | 36.1% | 5.4% |
| Average | 11% | 2.2% | 37.8% | 9.8% |
Household finances by region
| Region | Struggling | Overstretched | Paying in full | Minimum payments |
| East Anglia | 11.2% | 0.7% | 48.4% | 12.1% |
| Lancashire | 14.6% | 4.1% | 28.9% | 14.8% |
| London | 13.2% | 2.0% | 45.8% | 7.7% |
| Midlands | 8.1% | 1.1% | 35.6% | 10.2% |
| North East | 6.2% | 0.8% | 43.6% | 9.4% |
| Scotland | 8.1% | 2.0% | 22.1% | 10.1% |
| Southern | 15.4% | 1.2% | 42.7% | 10.6% |
| Wales | 9.7% | 3.9% | 36.2% | 6.9% |
| Yorkshire | 6.5% | 2.5% | 39.6% | 5.2% |
| Average | 11% | 2.2% | 37.8% | 9.8% |