Household Debt: Key Economic Indicators – Debt

The House of Commons Library has published its latest report on Key Economic Indicators on debt.

It can be seen here, and says:

Household debt as a % of disposable income

Household debt peaked in Q3 2008 at 155.6% of household disposable income. It then declined to 132.4% by late 2015.

Growth in household debt levels accelerated from early 2016, so that the debt-to-income ratio rose again to 136.3% by mid-2017. In Q1 2023 it was 128.9%.

Statistical note: The household debt and income source data were changed in May 2019. Previously debt and income totals included the non-profit sector (mostly charities and universities). The new data reflects only individuals in the household sector. The overall historical trends are unchanged. For more see the Library paper on household debt.

Current average mortgage interest rates

The average Standard Variable Rate (SVR) was 7.44% in May 2023, up 3.18 percentage points on a year ago.

The average 2-year fixed mortgage rate was 4.73% in May 2023, up 2.10 percentage points on a year ago.

Individual insolvencies, England and Wales

There were 29,017 individual insolvencies in England and Wales in Q1 2023, 517 fewer than in the previous quarter. The largest increase since the current series began in 2010 was seen between Q2 2020 and Q3 2020.

The Q1 2023 level is 9.4% lower than the level in Q1 2022.

In Scotland, there were 1,912 individual insolvencies in Q1 2023, at a similar level the year before.

In Northern Ireland, there were 410 individual insolvencies in Q1 2023, down 6% on the year.

SEARCH

YOU MAY ALSO LIKE

Off-Plan Buyers Drop

Higher interest rates have caused off-plan home sales to tumble in the UK, prompting the nation’s housebuilders to...

Rising cost of living in the UK

The cost of living increased sharply across the UK during 2021 and 2022. The annual rate of inflation reached 11.1% in...

CATEGORIES
SOCIAL
Twitter feed is not available at the moment.

0 Comments

Submit a Comment