Some help for people in arrears, but more set to struggle
The Money Advice Trust, the charity behind National Debtline, has responded to the Budget
Posted October 30, 2024
The Money Advice Trust, the charity behind National Debtline, has responded to the Budget, welcoming changes to Universal Credit debt deductions and an extension of the Household Support Fund.
But with energy arrears at a record £3.7 billion, the charity says more action is needed to help people in energy debt and to bring down bills for people on the lowest incomes.
The charity’s Help to Repay campaign is calling for dedicated support for people trapped in energy debt through repayment matching and debt write-off.
Steve Vaid, chief executive of the Money Advice Trust, the charity that runs National Debtline, said:
“There was some good news in this Budget for people struggling with problem debt. Reform of Universal Credit debt deductions is long-overdue, and the Household Support Fund extension will mean more help for people at the sharp-end of financial difficulty.
“But the Budget also introduces new pressures. We remain concerned about the impact of the removal of the Winter Fuel Payment from pensioners lower down the income scale. And there was no help on energy arrears, which are now at £3.7 billion.
“With energy prices so high, more and more people are at risk of falling behind. The Government and Ofgem need to bring forward a Help to Repay scheme to bring down energy debt, and introduce an energy social tariff to reduce bills for those on the lowest incomes.”
National Debtline provides free, independent advice. Contact us on 0808 808 4000 or via www.nationaldebtline.org