UK Household Debt Statistics 2026
The latest official data available in 2026 shows continued growth in consumer borrowing alongside increasing pressure in formal insolvency statistics. Total UK household debt stands at approximately £2.0 trillion as of Q1 2026, with secured mortgage debt reaching £1.746 trillion. Bank of England data for May 2026 recorded £1.7 billion of net consumer-credit borrowing during the month, bringing total unsecured consumer credit to £253 billion (April 2026). Separate Insolvency Service statistics show that 11,871 people entered insolvency in England and Wales in June 2026.
Key 2026 Figures
- Total UK household debt: ~£2.0 trillion in Q1 2026 (Secured: £1.746 trillion, Unsecured: £253 billion).
- Credit card debt exceeded £70 billion in March 2025, with an average balance of £1,950 per household (Dec 2025).
- 2025 Insolvency totals reached 126,240 (IVAs ~71,957, DROs 46,939, Bankruptcies 7,460).
- 79,110 homeowner mortgages were in arrears ≥2.5% in Q1 2026, and 5,160 properties were repossessed in 2025 (a 39% increase from 2024).
- Energy debt reached £4.79 billion in Q1 2026 (Ofgem).
Consumer Borrowing and Borrowing Costs (May 2026)
Source: Bank of England, Money and Credit, May 2026. For strategies to tackle this, visit our clear credit card debt guide or our budget balancer tool.
- Total Unsecured Debt: £253 billion (April 2026)
- Net consumer-credit borrowing: £1.7 billion in May 2026
- Net credit-card borrowing: £0.6 billion
- Net other consumer credit (including car dealership finance and debt consolidation loans): £1.1 billion
- Credit card metrics: Debt exceeded £70 billion (March 2025) with an average balance of £1,950 per household (Dec 2025).
- Annual growth rate for total consumer credit: 8.9%
Borrowing costs
- Effective rate on interest-charging credit cards: 21.45%
- Effective rate on interest-charging overdrafts: 21.57%
- Effective rate on new personal loans to individuals: 9.66%
Mortgage Borrowing & Arrears (Q1 2026)
Source: Bank of England & ONS
- Total Secured Debt: £1.746 trillion (Q1 2026)
- Average house price: £270,080 (April 2026, ONS)
- Mortgages in arrears: 79,110 homeowner mortgages were in arrears ≥2.5% of the outstanding balance in Q1 2026.
- Repossessions: 5,160 properties were repossessed during 2025, representing a 39% increase from 2024.
Individual Insolvency: England and Wales
Source: Insolvency Service. For more context on these procedures, review our debt solutions comparison guide.
2025 Full Year Insolvency Totals:
- 126,240 total insolvencies in 2025
- 71,957 IVAs
- 46,939 DROs (Note: The DRO limit covers eligible debts up to £50,000 with a £0 application fee)
- 7,460 bankruptcies
June 2026 Update:
- 11,871 individuals entered insolvency in England and Wales in June 2026.
- 7,318 IVAs, 3,879 DROs, and 674 bankruptcies.
Debt Advice & Financial Wellbeing
If you are struggling, please seek free debt advice or government debt help. If your mental health is suffering, reach out to the mental health and money hub.
- Debt Advice Demand: Citizens Advice helped 407,416 people with debt in 2025. StepChange saw 163,916 new clients in 2025. Many people entering formal solutions start with a Debt Management Programme to organize their unsecured payments.
- Benefits Support: Universal Credit covered 8.3 million people in Great Britain as of February 2026.
- Financial Resilience (FCA Financial Lives 2024): 13.1 million adults have low financial resilience. 49% of UK adults show one or more characteristics of vulnerability.
Energy Debt
Ofgem reported in Q1 2026 that total outstanding energy debt reached £4.79 billion. Around three quarters of the debt was more than 91 days overdue and involved customers who were not on a repayment plan. If you are struggling with essential bills, we recommend completing a free debt assessment.
Methodology and Geographical Limitations
- Bank of England consumer-credit and mortgage data covers the whole UK.
- Insolvency Service monthly statistics cover England and Wales only.
- ONS quarterly sector accounts cover the whole UK.
- Ofgem energy-debt figures cover domestic consumers in Great Britain (England, Wales and Scotland).
Comparable, current regional average unsecured-debt figures were not identified in the official source set used for this update. Understanding how these statistics affect your personal finances starts with reviewing your own credit report. If you need a fresh start post-debt, visit our credit rebuilders hub for tools and tracking to help repair your file, and find resources on how to stop debt collectors if you are currently facing harassment.
Sources
- Bank of England, Money and Credit, May 2026 & April 2026.
- Insolvency Service, Monthly Insolvency Statistics, June 2026 & Full Year 2025.
- Office for National Statistics, Quarterly Sector Accounts, Q1 2026 & Average House Prices April 2026.
- Ofgem, Q1 2026 domestic consumer energy-debt data.
- Citizens Advice and StepChange Annual Impact Reports, 2025.
- FCA Financial Lives Survey, 2024.
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