UK homeowners and households face widening financial resilience gap

Research by LifeSearch and the HomeOwners Alliance found that 40% of UK homeowners have never reviewed or considered protection for their property, and many do not regularly check mortgage balances or emergency savings. Only 5% cite advertising as a trigger to reassess coverage, while younger owners are slightly more responsive. Experts say a single conversation with an adviser could close these gaps.

Equifax’s UK Financial Health Report warns that average household savings have fallen to £6,188, far below the £20,000 level many deem necessary for security. The UK Market Pulse Index has plateaued at 60.4, indicating depleted pandemic‑era buffers. Rising living costs, a looming 20% hike in the energy price cap, and longer‑term mortgage products are straining borrowers. Credit‑card debt hit a record £79.2 bn, and personal insolvencies rose 10% in 2025, with homeowners comprising 17% of new Individual Voluntary Arrangements. The data signal growing debt pressure across traditionally secure households.