Millions of people in the UK are facing a “household debt crisis”, according to new research from Christians Against Poverty (CAP), which warns that families across the country are struggling to afford essentials while managing debts they cannot repay.
The charity’s findings reveal that around 9.5 million adults do not earn enough to cover basic living costs, while 9.2 million are already burdened by unmanageable debt. Parents are particularly affected, with 27 per cent of households with children under 18 reporting difficulties repaying debt, compared with 14 per cent of adults without children.
Many families are being forced to make difficult choices. CAP’s report found that 30 per cent of indebted adults have gone without electricity or gas, while more than a third have skipped meals at least once a week.
Stewart McCulloch, CAP’s chief executive, told media reporters this week that rising costs have left millions unable to cope. “We’re talking about a large group of us who are struggling to get by,” he said. “For the bottom 20 per cent of earners, incomes really haven’t gone up for years, but inflation has been brutal. Finely balanced finances can be knocked into crisis by such things.”
The research also highlights the growing mental health impact of financial stress. Nearly 28 per cent of UK adults - more than 15 million people - say they feel daily anxiety about money. McCulloch said many of CAP’s clients report experiencing severe distress before seeking help.
“The level of anxiety out there is incredible,” he said. “A statistic we found out this year is that most of our clients have considered taking their own lives before they seek help. These people are in a deep crisis, and that is an indication of the level of stress people have out there.”
CAP’s findings come as churches across the UK continue to provide practical support for those in financial difficulty. According to the Evangelical Alliance, around one in three churches now offers some form of financial counselling, and two-thirds run food banks.
McCulloch said churches are playing a vital role in reaching those who feel there is nowhere else to turn.
“The church is doing amazing things, reaching out to people,” he said. “If people are struggling, go to your local church; they’ll sort you out.”
The charity has urged the government to take action to address the growing problem. Its recommendations include abolishing the five-week wait for Universal Credit, removing the two-child benefit limit, and ensuring that all households have access to a liveable income.
CAP is also calling for greater investment in financial resilience, such as expanding savings schemes and offering money coaching. The aim is to help households “manage their finances with dignity” rather than rely on emergency support in the long term.
Unfortunately, the rising debt crisis presents an ongoing challenge not only for policymakers but also for faith communities seeking to respond to need in their local areas.
Church leaders have been urged to continue providing both practical help and emotional support to those experiencing financial hardship, while also advocating for systemic change.
For many Christian groups, the response to the crisis is rooted in the biblical principles of compassion, justice, and care for the vulnerable. As economic pressures continue, CAP and other organisations are encouraging churches to remain places of refuge and hope for those struggling to make ends meet.
