Looming debt crisis and impact on clients

With reports of a debt crisis, what impact is this having on your clients, what advice are you giving to your clients and what other ways are you trying to help them?

For example, based on analysis by HL:

• One in four of us are spending more than we’re earning (26%), so we risk running up debts.
• Higher income households are borrowing more as a percentage of their income - and have a bigger share of their borrowing on variable rates – so they’re more vulnerable to changing rates. Almost a third (31%) score ‘poor’ or ‘very poor’ for their control of debt.
• They’re also more likely to have a mortgage – and be hit by runaway remortgage rates. Overall, over the next 12 months, 26% of mortgage holders will be at risk of arrears.
• This time next year our disposable income will be 2.5% lower than at the end of the pandemic.

Which sections of your clients are feeling the pain the most, young people, home-owners, pensioners, high/low earners, etc? What does the looming debt crisis mean for pensions, investments, savings..etc

What do you think is the outlook; how bad could things get or are you optimistic?

Will the advice gap narrow/widen?