Tag: support

One in three people struggling to keep up with bills and credit commitments – double the pre-pandemic number

Millions driven to harmful desperation borrowing as financial pressure on households deepens

The number of people finding it hard to keep up with bills and credit commitments has doubled since the start of the pandemic according to new research from StepChange Debt Charity.

The charity has found the proportion of people struggling is now nearly one in three (30%) GB adults – 15 million people – compared to 15% (7.5m people) who say they were struggling in March 2020.

The findings are part of a new report – Falling behind to keep up: the credit safety net and problem debt – which reveals the pandemic has further entrenched the use of consumer credit to make ends meet.

The report finds 8.6 million people in financial difficulty in Britain borrowed £26 billion to cover their basic needs in the last year. This includes 3.5 million people who have used credit to pay essential bills.

The number of people resorting to credit is expected to increase as the cost-of-living crisis pushes up the price of basic household essentials.

StepChange’s research reveals a credit market that does not always work for people in financial difficulty, with two-thirds (65%) of those in difficulty having kept up with credit repayments by missing bills, borrowing from family and friends or being forced to cut back to the point of hardship.

Despite rules designed to ensure those in financial difficulty access support, fewer than one in four of those struggling with credit repayments are in contact with their bank or credit firm.

Strikingly, half of GB adults (53%) say that they would be reluctant to seek help with financial difficulty from a bank or credit firm due to concerns about credit reporting and the anxiety and stigma of talking about financial difficulty.

The report finds that rather than access help, people struggling with debt can instead experience steps that make their situation worse. Among Stepchange clients who responded to an online survey, 26% were offered further credit after they were in financial difficulty, 35% had a payment taken they could not afford and 51% had interest added to a debt.

The lack of effective early intervention to identify and provide those in financial difficulty with a safe, fair way out of unaffordable debt is causing social harms, with 6.4 million struggling GB adults saying credit has had a negative impact on their health, relationships or ability to work in the last 12 months.

The research, based on a national survey of GB adults and an online survey of StepChange clients, highlights poor practice in the credit market such as ineffective affordability checks and automatic credit limit increases that draw financially vulnerable households into unmanageable debt.

With the cost-of-living crisis now further squeezing budgets StepChange is warning that many more people are likely to use credit to pay for essentials in the coming months. Urgent action is needed to support households to meet essential costs without resorting to credit.

The Financial Conduct Authority recently announced proposals to implement a new Consumer Duty that will require firms to focus on delivering good outcomes for consumers. StepChange is calling for the FCA to ensure the Duty changes practices that are failing consumers, including:

  • Raising standards of lending and addressing unaffordable credit limit increases so that fewer stretched households build unaffordable credit card debt
  • Requiring firms to intervene proactively and provide a widely available and safe offer to customers unable to keep up with repayments, building on learning from payment deferrals offered during the pandemic.

StepChange is also calling on the Government and the FCA to do more to provide alternatives to borrowing for households that are struggling to meet unexpected expenses, through grants via the social security system and a government-supported no interest loan scheme.

StepChange Chief Executive Phil Andrew said: “The sharp rise in the number of people struggling to meet their financial commitments should raise alarm bells across Government, banks and regulators.

“We are two years into a financially damaging pandemic and going through the sharpest cost of living increase in a generation. While consumer credit can potentially play some part in helping people navigate short-term pinch points, this must not be at the cost of their long-term financial and personal wellbeing.

“For our clients, a cost-of-living crisis is not new – for years we have been seeing a steady rise in the number of households who experience debt simply through a prolonged period of not having enough income to meet their basic needs.

“However, the number of such households looks set to grow, and in the absence of public policy intervention the risk is that such households will have no other option but to turn to borrowing in the short term, which will only exacerbate and prolong their financial difficulties.

“Those responsible for the steering us through these choppy financial waters need to be attuned to the harm many credit products, made available to people on the cusp of financial difficulty, can cause.

“The new Consumer Duty is a crucial opportunity for firms to redesign products and change practices to ensure credit does not exploit financial difficulty and those in difficulty get effective help fast.

“To resist acting is to risk a rapidly escalating debt crisis, particularly among lower income households.”

Falling-behind-to-keep-up-the-credit-safety-net-and-problem-debt-StepChangeDownload

Healthy Heart Tip: Stopping smoking

Approximately 6.9 million people over the age of 18 are smokers. Smoking harms almost all organs in the body, including your heart and blood vessels, increasing your risk of having a heart attack.

Quitting smoking can be extremely difficult, but it is an important step in reducing your risk of heart disease. We provide some tips to help you stop smoking:. 

Decide when to stop and make a plan

The sooner you decide to quit smoking, the better. Choose a date within the next two weeks. If you leave it too long, you will give yourself time to change your mind.

Identify triggers that make you want to smoke and work out how you will overcome them in advance. For example, if you usually smoke during your break at work, plan to go for a walk instead. 

Notify friends and family of your intention to stop smoking and ask for their support.

Manage your cravings

Cigarette cravings are intense urges to smoke and they can last for 5 minutes.

Quitting smoking requires a huge amount of willpower. When you get a craving, try to distract yourself for 5-10 minutes until it passes. You could try planning a healthy dinner or plan a route for a cycle ride or a walk.

Once the craving has passed, you can give yourself a pat on the back.

Get support

Getting support to stop smoking can increase your chances of success. You could try contacting your local Stop Smoking Services or chatting to your GP.

You could also seek advice from a friend or family member who has successfully stopped smoking, or from someone who is also trying to quit.

Perhaps consider using a stop smoking aid, such as nicotine patches, gums, lozenges or nasal sprays to help stop the cravings.

As well as reducing your risk of developing serious diseases, such as cancer and heart disease, quitting smoking can also help to improve your mental wellbeing.

Why not reduce your risk by choosing a date to quit smoking today?

For more tips on how to stay healthy, sign up for our weekly healthy tips at:

www.heartresearch.org.uk/healthy-tips

To help keep your heart healthy, why not try out some of our Healthy Heart recipes from our website: 

https://heartresearch.org.uk/heart-research-uk-recipes-2/

Or have a look through our Healthy Heart cookbook filled with recipes from top chefs, celebrities and food bloggers:

https://heartresearch.org.uk/heart-research-uk-cookbook/

The Leith Collective tackles hidden poverty with ‘no questions asked’ coat exchange

Locals urged to donate as cost of living soars

It has been a relatively mild winter so far, but those familiar with Edinburgh weather know that could all change in a heartbeat. Sadly for many locals, a cold spell could prove to be their breaking point.

With fuel bills soaring and the cost of essentials massively increasing, many city residents are feeling the pressure of the rapidly rising cost of living. And so, The Leith Collective has introduced a ‘no questions asked’ coat exchange to give a helping hand to those who might need it.

Situated outside The Leith Collective shop at Ocean Terminal, rails of good quality coats are available for collection now – at no cost and with no questions asked.

And locals are being urged to donate. Coats of any size can be dropped off at The Leith Collective at Edinburgh’s Ocean Terminal where they will be quarantined for 72 hours, in-line with covid safety guidance. They will then be displayed outside the store for anyone to collect.

The idea behind the coat exchange is two-fold, as The Leith Collective founder, Sara Thomson explains: ‘The nation is currently facing a poverty crisis, with the cost of living rising faster than ever, and job insecurity resulting from the pandemic still affecting many.

“Edinburgh is not immune to this and we’re witnessing the damaging effects here in Leith and beyond. Coupled with the climate crisis, we felt we had to take action and try to help. And so the coat exchange was born. Not only is it a sustainable solution that keeps quality clothes out of landfill and in use, it also provides a valuable opportunity to kit out families in genuine need.”

The coat exchange is the latest in a series of initiatives launched by The Leith Collective to simultaneously support locals and promote a circular economy, following their hugely successful Christmas tree exchange in December 2021. 

As a Community Interest Company, all profits from the shop go towards supporting the community and promoting sustainability through the arts.

The Leith Collective actively supports individuals with mental health or support needs to grow in confidence and gain experience in the workplace, and offers business mentorship to any members of the Collective.

It is hoped that by hosting the coat exchange in an accessible location such as Ocean Terminal, those currently experiencing difficulties will be able to receive a helping hand.

Donations to the coat exchange can be dropped off at The Leith Collective during opening hours, Monday – Saturday 11am – 6pm, and Sunday 11am – 5pm. Coats should be clean and in good condition.

Islamic Relief UK and Blackhall Mosque team up to help vulnerable families in Edinburgh

Islamic Relief UK partnered with Blackhall Mosque yesterday to distribute 500 essential food packs to vulnerable people in Edinburgh including the homeless, asylum seekers, refugees and women who have suffered domestic abuse.

Scotland has seen a stark rise in families needing financial assistance and help with food. According to the poverty and inequality commission, one in four children in Scotland (24%) and one in five working-age people (19%) are living in poverty.

Many people have been hit hard by the pandemic, including, low-income families, those suffering from domestic abuse, the homeless, asylum seekers and refugees who were already struggling to feed themselves and many prioritising eating or heating as they struggle to pay their bills.

The food packs contained 30 items including, rice, pasta and beans.

With poverty levels in the UK increasing, Islamic Relief UK is also distributing food parcels across the country with different partners.

Imam Sohail Ashqaue, Blackhall Mosque, said: “We begin by thanking Allah SWT (God) for giving us all the opportunity to serve his creation. Indeed this is a blessing as we work with Islamic Relief UK to deliver 500 food packs to families who have been struggling to feed themselves this winter.

“We would like to thank all the volunteers who will help make this happen and we look forward to continuing this great partnership with Islamic relief UK to ensure the most vulnerable in our community receive the support they require.

“We are glad to be helping those in Edinburgh as part of a wider distribution by Islamic Relief UK and partners that are taking place across the UK.

“With rising utility bills and many businesses not recovering from the pandemic, many people are facing huge insecurity towards their future.

“The hardship that many families and individuals are dealing with right now is unimaginable, and this distribution will go a long way to help alleviate that.”

Nadeem Baqir, Regional Community Fundraising Manager, Islamic Relief UK said: “We are proud to be working with Blackhall Mosque to reach out to some of the most vulnerable people in Scotland. The Mosque plays an important role in the community and has been a lifeline for many people.

“With the high cost of living and the pandemic, we have seen families struggle to pay for just the essentials such as food and warmth and many have had to resort to food banks.

“This winter, the work of Blackhall Mosque will make a huge difference to many families and we thank them for their amazing efforts to help those in need.”

Granton Goes Greener: Evening sewing classes start next month

We have some great news for all of you, who are busy during the day, but would still like to learn some basic sewing skills or repair your clothes🧵🧶✂️🧷

We have now added another FREE, EVENING SEWING CLASS (ADULTS ONLY), which same as our Monday class will be a drop-in, taking place in the East Hall of Granton Parish Church between 6 and 8 pm on EVERY FIRST THURSDAY OF THE MONTH.

The class will be run by our regular sewing tutor – Monika from Remode Collective.

We would also like to say a huge THANK YOU to Swinton Paterson Trust https://www.swintonpatersontrust.org.uk/ for their financial support of the class🙏🙏

Islamic Relief UK and Blackhall Mosque team up to support Edinburgh’s vulnerable families

Islamic Relief UK and Blackhall Mosque team up to help some of the most vulnerable families in Edinburgh.

Tomorrow, Sunday 23 January, Islamic Relief UK will partner with Blackhall Mosque to distribute 500 essential food packs to vulnerable people in Edinburgh including the homeless, asylum seekers, refugees and women who have suffered domestic abuse.

Scotland has seen a stark rise in families needing financial assistance and help with food. According to the poverty and inequality commission, one in four children in Scotland (24%) and one in five working-age people (19%) are living in poverty.

Many people have been hit hard by the pandemic, including, low-income families, those suffering from domestic abuse, the homeless, asylum seekers and refugees who were already struggling to feed themselves and many prioritising eating or heating as they struggle to pay their bills.

The food packs – will contain 30 items including, rice, pasta and beans.

With poverty levels in the UK increasing, Islamic Relief UK is also distributing food parcels across the country with different partners.

Imam Sohail Ashqaue, Blackhall Mosque, said: “We begin by thanking Allah SWT (God) for giving us all the opportunity to serve his creation. Indeed this is a blessing as we work with Islamic Relief UK to deliver 500 food packs to families who have been struggling to feed themselves this winter.

“We would like to thank all the volunteers who will help make this happen and we look forward to continuing this great partnership with Islamic relief UK to ensure the most vulnerable in our community receive the support they require.

“We are glad to be helping those in Edinburgh as part of a wider distribution by Islamic Relief UK and partners that are taking place across the UK.

“With rising utility bills and many businesses not recovering from the pandemic, many people are facing huge insecurity towards their future.

“The hardship that many families and individuals are dealing with right now is unimaginable, and this distribution will go a long way to help alleviate that.”

Nadeem Baqir, Regional Community Fundraising Manager, Islamic Relief UK said: “We are proud to be working with Blackhall Mosque to reach out to some of the most vulnerable people in Scotland. The Mosque plays an important role in the community and has been a lifeline for many people.

“With the high cost of living and the pandemic, we have seen families struggle to pay for just the essentials such as food and warmth and many have had to resort to food banks.

“This winter, the work of Blackhall Mosque will make a huge difference to many families and we thank them for their amazing efforts to help those in need.”

Earth in Common needs your help!

Do you have a few hours to spare each weekday from tomorrow – Monday 17th January?

Earth in Common (formerly Leith Crops in Pots) are in need of some help shifting bits & bobs/decluttering/organising ahead of our big renovation.

Tea & coffee will be provided!

Wrap up warm & come chat with our team from 10am.

More help for unpaid carers

Funding for wellbeing support and services

A £4million funding package will help provide support to unpaid carers, in recognition of the enormous role they play in looking after loved ones, and the added pressure many have faced during the pandemic.

Over the next few weeks, the additional winter funding will allow organisations working with unpaid carers to expand the services they provide to all groups of adult and young carers, including those looking after disabled children and young people and those caring for a friend or relative with dementia.

To help reach as wide a range of carers as possible, the funds will be shared between organisations who are already working with different groups of carers:

  • £3million for local carer centres across Scotland to expand their vital support for adult and young carers
  • £200,000 to expand the Young Carers Package delivered by Young Scot to provide additional break opportunities, support and activities for young carers
  • £377,000 to expand Family Fund support with breaks for parents and families looking after disabled children and young people
  • £590,000 to expand wellbeing support and services for unpaid carers looking after a family member with Dementia, including grants for short breaks

Minister for Mental Wellbeing and Social Care Kevin Stewart said: “Unpaid carers play a vital role in society and I know the pandemic has placed many additional pressures on Scotland’s carers.

“The Scottish Government has always been committed to improving carers’ rights and providing them with the support and extra help they deserve. 

“The local services and third sector organisations that have been supporting carers during the pandemic have been exceptional. I am pleased to be able to announce this additional funding to allow them to continue their essential work.

“This support for carers comes on top of the Carer’s Allowance Supplement, the first payment made by Social Security Scotland, which increased Carer’s Allowance for eligible Scottish carers by around 13% compared to carers in the rest of the UK.

“In addition to this uplift to Carer’s Allowance, we made extra Coronavirus Carer’s Allowance Supplement payments in June 2020 and in December 2021 to support eligible carers.”

National debt charity urges those who are struggling to seek help

As the cost of living increases and energy prices set to soar, debt charity encourages those who are unable to pay bills to seek support

As we start this new year, many people across Scotland are struggling with the increased cost of living impacting all areas of life. The cost of a food shop has increased alongside significantly higher fuel and energy costs. The upcoming removal of the energy price cap is set to see prices soar.

Christians Against Poverty (CAP) Scotland is deeply concerned that many low income families will see their debts rocket as they struggle to afford the basics. CAP surveyed around 900 clients across the UK during the pandemic and over a third (37%) said they regularly had to go without meals. Over half (56%) had borrowed money to pay for food, clothing and other essential living costs.

TIME TO SEEK FREE DEBT HELP

CAP Scotland is encouraging more people to seek help with problem debt now and not to wait until things get worse. Their message is clear, it is never too early or too late to get debt help.

CAP Scotland’s National Director, Emma Jackson, explains why this is so vital: “Over the past year we’ve seen the devastating impact of the cost of living increase hitting low income families hard. Before getting debt help, many of our clients were having to prioritise which bills to pay.

“No one should have to make the impossible choice between whether to heat their home or feed their children but sadly too many people in Scotland are having to do this right now.

“Too often shame and stigma keep people trapped in problem debt, 50% of CAP clients wait for over a year to get debt help. We are urging everyone who is struggling with problem debt not to wait until things hit crisis point.

“CAP Scotland provides free, professional and community based debt help. Our Debt Coaches can meet you in the comfort of your own home and stay with you every step of the way until you become debt free.

“Many other trusted debt help charities are also offering vital support with free debt help. The most important thing isn’t which charity someone chooses to call, it’s just making the call for help as soon as possible.”

Local charity Granton Information Centre is one of the organisations that are here to help.

Email info@gic.org.uk or telephone 0131 551 2459 or 0131 552 0458 to make an appointment or enquire about our outreaches.