Two in five UK adults have missed a utility bill payment in the last six months, Moneyhub Payments has found.

The firm’s recent financial wellbeing survey has shown that a quarter (24%) of UK adults have missed a payment of some kind in the last six months.

Of the consumers that have missed a payment in this period, more than two in five (41%) missed utility bills.

The survey also revealed that more than three quarters (77%) of respondents felt anxious when expecting bills to arrive or be paid, with utility bills causing the most concern.

Managing director of payments at Moneyhub, Mark Munson, said: "Missed payments are causing significant concern for UK consumers, with utility bills the number one culprit. With energy bills high, there is a real worry that this problem will only worsen without intervention."

Escalating utility prices in the UK, combined with the wider cost of living crisis, have become a significant concern for consumers, with households having to deal with the challenge of managing their monthly budgets.

The size of the issue has been exemplified by Ofgem’s December 2023 figures that showed the UK consumer energy bill debt had hit a record £3bn.

Moneyhub said that there are solutions available for utility companies to support their customers, particularly those who are struggling with payments.

When asked what would help them manage their money or reduce instances of missed payments, 38% of UK consumers said that choosing the day of the month direct debits would make a difference. A warning before payments are expected (28%) and better oversight of their incomings and outgoings (27%) were also cited as solutions.

Munson added: "Fortunately, there are technologies that utility providers can adopt to improve their offerings to customers and better support when that customer is showing signs of distress. Often customers just need a little extra flexibility to help them get back on their feet, and with open banking and open finance, providers will be able to identify those struggling and be able to offer them individualised solutions.

"Utility businesses can benefit too by offering alternative payment options tailored to the specific needs of their customers. Companies that offer choice and more control over how consumers pay will reap rewards in improved consumer loyalty, reduced churn and increased customer satisfaction."

---