A CHARITY has urged Labour not to worsen hardship for struggling households in this week’s Spring Statement.

StepChange, a charity which provides debt advice, made the call as it published research revealing a 25 per cent surge in arrears on household bills among those already in debt.

The charity said its average client was £3,911 in arrears on household bills, up from £3,124 in 2023.

It found that the average amount of debt for each client increased by 7 per cent, from £16,706 in 2023 to £17,936 last year.

Mortgage arrears saw the steepest rise, soaring by 69 per cent from £6,054 in 2023 to £10,239.

Energy arrears has meanwhile jumped by 58 per cent since 2022, with clients averaging £2,340 in energy debt. 

As council bills continue to climb, council tax arrears also increased by 14 per cent in the last year to £1,972.

Households continue to grapple with mounting debt, despite most (60 per cent) of those reaching out to StepChange being in some form of employment.

StepChange chief executive Vikki Brownridge said: “Consistently rising living costs are pulling higher earners into debt, with more people finding work is not shielding them against financial hardship.

“Those on the lowest incomes face growing budget deficits and it’s a concern that this could be pushing more people to rely on credit to make ends meet.

“At this week’s Spring Statement, it’s important the government does not exacerbate hardship for the most financially vulnerable households.

“This should include addressing increasingly unaffordable household bills, such as energy and council tax, through targeted support aimed at delivering long-term affordability for low-income households.”