UK Cost of Living Crisis 2022 | Guides and Support | moneyfacts.co.uk

Moneyfacts.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfacts.co.uk will always be from news@moneyfacts-news.co.uk. Be Scamsmart.

Dealing with the UK cost of living crisis

We’ve compiled our most popular guides related to money-saving and debt into one page to help consumers navigate through the cost of living crisis in the UK. Whilst prices and household bills are rising at alarming rates, there are various things you can do to take control of your personal finances and keep your financial wellbeing in check.

 

Financial wellbeing

guides icon
13 signs that your personal finances are under stress and what to do about it

Moneyfacts outlines the 13 signs that your personal finances are under stress and what to do about it. Read our guide to find out more about regaining control of your finances.

Moneyfacts outlines the 13 signs that your personal finances are under stress and what to do about it. Read our guide to find out more.

Read More
guides icon
How to get out and stay out of your overdraft

If you’re always in your bank account overdraft, here's our seven-step guide to getting, and staying, overdraft-free. Read our guide to find out more.

If you’re always in your bank account overdraft, here's our seven-step guide to getting, and staying, overdraft-free. Read our guide to find out more.

Read More
guides icon
How to start saving an emergency fund

Saving is a brilliant habit to get in to. The very first thing you should look at when starting to save is building an emergency fund.

Saving is a brilliant habit to get in to. The very first thing you should look at when starting to save is building an emergency fund.

Read More
guides icon
12 steps to clear your debt

Acting on your finances and reviewing existing credit agreements can help you get debt-free, so you don't get trapped in a vicious circle. Read our guide to find out more about how to become and stay debt-free.

Acting on your finances and reviewing existing credit agreements can help you get debt-free. Read our guide to find out more.

Read More
guides icon
UK inflation explained - and how to deal with it

Whether you are looking to invest for your future, save for retirement, or find your perfect mortgage you have probably come across a term called inflation. With its widening effect, it is important to understand what inflation is, why it is necessary, and how it affects the economy.

Whether you are looking to invest for your future, save for retirement, or find your perfect mortgage you have probably come across a term called inflation.

Read More
guides icon
Is all debt bad? Good debt vs. bad debt

Not all debt is bad – some assets and benefits are a good investment in your financial future. Our helpful guide explains everything you need to know.

Not all debt is bad – some assets and benefits are a good investment in your financial future. Our helpful guide explains everything you need to know.

Read More
guides icon
Dealing with debt in retirement

The options for borrowing money when you are retired are a little more limited. However, there are three main routes you can take, depending on the qualifying criteria for each individual product. Read our guide to find out more.

The options for borrowing money when you are retired are a little more limited. Tthere are three main routes you can take, depending on the criteria.

Read More
guides icon
How to improve your credit score

Our guide sets out 11 steps to boosting your credit score and tell you what to do and what to avoid to increase your credit scrore.

Our guide sets out 11 steps to boosting your credit score and tell you what to do and what to avoid to increase your credit scrore.

Read More

Utilities

guides icon
How to switch your broadband provider

Switching your broadband helps to make sure you are with the best internet service and that you get the best possible broadband deal. Find out more about how to switch in our guide.

Switching your broadband helps to make sure you are with the best internet service and that you get the best possible broadband deal.

Read More
guides icon
How to get the best mobile phone deal

Mobile phones play an important role for many in their day-to-day lives. Find out more about how to get the best phone and contract for you in our comprehensive guide.

Mobile phones play an important role for many in their day-to-day lives. Find out more about how to get the best phone and contract for you in our guide.

Read More
guides icon
Can you save money by switching energy supplier?

Switching to a new electricity or gas supplier is easy to do and can save you money on your energy bills, according to research conducted by Ofgem the regulator of energy companies in the UK). It is also quick to change your energy provider, with the average switching time between 16 and 18 days.

Changing energy supplier has never been easier, with the average switching time between 16 and 18 days. Find out more about switching suppllier in our guide.

Read More
guides icon
Investing in renewable energy and environmental companies

As the Government looks to use wind to generate electricity for every UK home by 2030, we look at the options for those wanting to invest in renewable energy or environmental businesses.

As the Government looks to use wind to generate electricity for every UK home by 2030, we look at the options for those wanting to invest in renewable energy.

Read More

Mortgages

guides icon
Worried about how you will repay your mortgage?

If you're worried about mortgage repayments thankfully there are plenty of ways to take control. Our helpful guide explains everything you need to know and practical steps you can take.

Are you worried about meeting your mortgage payments? An unexpected rise in rates got you panicking about affordability? This guide will give you some options.

Read More
guides icon
What is a flexible mortgage?

A flexible mortgage is just a normal mortgage with some flexible extra features bolted on. Find the features that work for you...

A flexible mortgage is just a normal mortgage with some flexible extra features bolted on. Find the features that work for you...

Read More
guides icon
When is it a good idea to remortgage?

Some homeowners are moving quickly to lock themselves into remortgage deals while interest rates remain at historic lows. Our guide discusses the best time to remortgage...

Some homeowners are moving quickly to lock themselves into remortgage deals while interest rates remain at historic lows. Find out more in our guide.

Read More
guides icon
For how long should I fix my mortgage?

Fixed rate mortgages are typically the first port of call for borrowers, offering rate certainty and set repayments that can make the process of homeownership more streamlined and potentially cheaper, too. But the question is, for how long should you fix your mortgage?

For how long should you fix your mortgage? This guide will discuss your options in more detail.

Read More

Other useful topics

guides icon
How can I find lost Premium Bonds?

If you're lucky enough to win one of those draws, NS&I will write to you to give you the good news. However, if they don't have your current contact details, you may not realise your good luck.

If you're lucky enough to win one of those draws, NS&I will write to you to give you the good news. If you haven't updated your details, here is what to do.

Read More
guides icon
How to find lost pensions

Finding a lost pension is easy and could result in significantly growing the pension pot you can expect when you retire. £billions worth of funds lay unclaimed every year.

Finding a lost pension is easy and could result in significantly growing the pension pot you can expect when you retire.

Read More
guides icon
How to reclaim unfair credit card charges

If you have accumulated substantial extra debt because of unfair credit card charges, then you may be able to claim some of this back from your card provider of the time.

If you have accumulated substantial extra debt because of unfair credit card charges, then you may be able to claim some of this back

Read More
guides icon
10 ways to keep your money safe from online scams

Worried about being targeted by a scam? Here are 10 ways to keep your money safe from online scammers.

Worried about being targeted by a scam? Here are 10 ways to keep your money safe from online scammers.

Read More
guides icon
What is income protection?

Income protection is an insurance product that’s designed to cover your earnings if you’re unable to work due to unforeseen circumstances, such as illness or injury.

Income protection is an insurance product that’s designed to cover your earnings if you’re unable to work due to unforeseen circumstances.

Read More
guides icon
Is it better to save or pay off a mortgage?

In today’s world of low savings rates, some may be wondering whether their money could be working harder by paying off their mortgage instead. We explore more in our guide.

In today’s world of low savings rates, some may be wondering whether their money could be working harder by paying off their mortgage instead.

Read More
guides icon
Beware of credit card cash advances

Cash advances from a credit card rank as the most expensive thing you can do – so don't consider withdrawing cash on your card unless it's an absolute last resort.

Cash advances from a credit card rank as the most expensive thing you can do – so don't consider withdrawing cash on your card unless it's a last resort.

Read More
guides icon
Should I avoid payday loans?

Payday loans offer easy loans up to around £1000 a month typically charging very high interest rates. Find out more about payday loans in our guide.

Payday loans offer easy loans up to around £1000 a month typically charging very high interest rates. Find out more about payday loans in our guide.

Read More

News

news icon
Inflation: These three things have gone up in price

24th May 2022

Last week, the Consumer Price Index (CPI) increased to 9%, the highest inflation has been in 40 years. Much of this can be owed to increased energy prices, with the Ofgem energy price cap coming into effect last month, according to the Office for National Statistics (ONS).

Here are three other things to have risen in price.

Read More
news icon
Klarna to report customer debts and payments to credit agencies

4th May 2022

From 1 June, Buy Now Pay Later (BNPL) provider Klarna will start sharing its customers payments made on time, late payments, and unpaid purchases with credit reference agencies. This means that if a consumer falls behind on any repayments, their credit score will worsen. Equally, if a consumer repays their debts on time their credit rating will improve.

The UK’s biggest Buy Now Pay Later provider will share its customer debt and payments with Experian and TransUnion from 1 June.

Read More
news icon
Spring clean finances as the cost of living soars (part two)

31st March 2022

The cost of living is soaring, and consumers may want to try to save some cash in any way they can by making simple changes to their everyday finances. Even if the months ahead seem daunting, whether a spender or a saver, taking some time out to spring clean finances and being conscious of a budget could be invaluable.

The cost of living is soaring, and consumers may want to try to save some cash in any way they can by making simple changes to their everyday finances.

Read More
news icon
Spring clean finances as the cost of living soars (part one)

30th March 2022

As consumers deal with the rising cost of living they may now be looking to clean up their finances. Moneyfacts has prepared some top tips for those who spend, save, and how much they could save by switching their existing accounts.

As consumers deal with the rising cost of living they may now be looking to clean up their finances.

Read More

Cost of living crisis FAQs

What has caused the cost of living crisis?

There’s no single cause of the cost of living crisis. Several factors have combined to put huge pressure on the nation’s finances. 

The COVID-19 pandemic has undoubtedly had an impact. Supply chains were ruptured and labour shortages rife. Consumers who had been saving during lockdowns suddenly started spending when they were lifted, and firms couldn’t cope with demand. This led to rising prices and ultimately higher inflation, with it currently sitting at a 40-year high.

But there’s also the impact of Brexit. Particularly the falling value of the pound and higher import costs. Rising taxes, debt, a real-term fall in wages and of course the higher energy price cap, which will rise further still in autumn 2022 are factors too. The Ukraine war has exacerbated these issues as well, particularly in terms of supply problems and subsequent rising food, fuel and energy prices.

When did the cost of living crisis start?

UK consumers really started feeling the pinch towards the end of 2021 / Spring 2022, when inflation started its meteoric rise and the first energy price cap hike came into force. But the factors that have caused the crisis were brewing for longer, from the start of the pandemic and the final break from the EU.

When will the cost of living crisis end?

Unfortunately, the cost of living crisis could be here for a while yet. Inflation is expected to rise further still (the Bank of England currently expects it to hit 11% later this year) alongside another hike to the energy price cap, and experts are warning of a looming recession with a shrinking economy.

Are other countries having a cost of living crisis? 

Yes, but arguably not to the same extent. A lot of other countries are facing high inflation – particularly the US and Europe – but the UK remains one of the worst off, with the depreciating pound thought to be the main driver.

How to beat the cost of living crisis?

Consumers should start by taking advantage of any Government support they can, including seeing what benefits they could be eligible for, and holding out for the £400 energy rebate in the autumn.

Apart from that, cutting costs and seeing where savings can be made is the only real option. This will be far more difficult for those already struggling who have nothing left to cut, but those who can still cut back on luxuries may want to do so, while others who are able to save may want to take advantage of rising savings rates to see if they can build a financial buffer.

You may also be interested in

How Moneyfacts works

  • drawing of money scales

    BALANCED. Moneyfacts.co.uk is entirely independent and authorised by the Financial Conduct Authority for mortgage, credit and insurance products.

  • blue outline of free tag

    FREE. There is no cost to you. Our service is entirely free and you don't need to share any personal data to access our comparison tables.

  • drawing of pound sign and arrow

    TRANSPARENT. We only receive payment from product providers and intermediaries for quick/direct links and adverts through to their websites.

  • blue outline of binoculars

    COMPREHENSIVE. We research the whole market and scour the small print so you can find the best products for your needs.

Get our weekly newsletter

Weekend Moneyfacts is available free by email to all Moneyfacts.co.uk users.

Send me Weekend Moneyfacts, Savers Friend and selected third-party offers.

Cookies

Moneyfacts.co.uk will, like most other websites, place cookies onto your device. This includes tracking cookies.

I accept. Read our Cookie Policy