Mapping the unmet demand for debt advice

A large proportion of people in the UK continue to struggle with debt, with an estimated 8.3 million being over-indebted. Demand for debt advice continues to rise and supply is not keeping up. The findings from our most recent Supply and Need research indicate even higher levels of ‘unmet demand’ for debt advice than before.

The results from 2017 show a changing landscape of advice provision, with a fall in supply of face-to-face advice whilst there is increased supply through telephone and online channels. It is still insufficient to meet the growing demand.

In his review of debt advice funding published earlier this year, Peter Wyman recommended an increase in supply of debt advice from free-to-client providers by 50% over the next two years. In light of Peter’s recommendations and the findings from this research, it is essential that we work together across the sector to tackle the problem and develop ways to narrow the advice gap.

Objectives and definitions
The aim of this research was to understand the current ‘supply’ of debt advice across the UK and how this
compares to the ‘demand’ for debt advice, at local authority level.

The findings of this research were crucial to effectively identify the areas where the commissioning of debt advice is most needed.

‘Supply’ of debt advice
In the report that follows we have defined ‘supply’ as the total number of clients* who received ‘advice / casework’ for their debt problems through face-to-face, telephone and online advice channels in the period April 2016 – March 2017.

‘Demand’ for debt advice
In the report that follows we have defined ‘demand’ as the total number of adults that sought debt advice within the most recent year.