Council tax debt has overtaken credit card arrears to become the most common financial issue for British households, according to Citizens Advice.
The charity expects it will provide support for 191,400 council tax debt issues in 2014/15, a 20% rise on the previous year.
Today’s figures came from Citizens Advice’s Consumer Challenges 2015 report, due out tomorrow, which highlights the growing proportion of people who have been approaching the support service for help with rent, council tax, water and fuel debts since 2012/13.
However debt issues surrounding credit cards, mortgages and unsecured personal loans have declined over the same period – the publication will say.
Citizens Advice chief executive Gillian Guy said: ‘Households’ financial recovery will not happen overnight. The improving economy, rise in employment and price reductions for some day to day costs is good news for many people but it is important to remember that this is set against a back drop of six years of financial difficulties.
‘There is a concerning shift in the kind of debt problems people are getting into. The mainstream debt problems of the credit crunch, from credit cards to loans, are morphing into even more troubling problems.
‘We’re helping people who are struggling to afford a warm home, keep a roof over their heads or put food on the table.’
