Cost of living crisis: Help is at hand for those struggling with debts, energy costs and more – Andrew Bartlett

Rising energy prices and inflation have driven a cost-of-living crisis that many of us will not have experienced in our lifetimes.

People struggling to pay bills should know they do not need to struggle alone (Picture: Matt Cardy/Getty Images)

As we navigate what is an incredibly challenging period, Scots will be feeling the impact when looking at their monthly outgoings. This will have been compounded over the colder months and in the run-up to Christmas, with people paying for gifts and festive activities on top of our soaring gas and electricity bills.

At Advice Direct Scotland, we know this is exacerbating existing debt problems and creating new ones for individuals and families who have never had to worry before. The most important thing to remember is that no one should struggle alone.

Help is available, and we can offer practical advice and information on a wide range of topics, including energy costs, debt, consumer issues, and sources of support available. The New Year is an ideal time to look at ways to get our finances under control.

Our team of experts at moneyadvice.scot, Scotland’s national debt advice service, can work with people to assess their current situation, look at their income and outgoings, and consider what to do next. When faced with mounting debts, starting a dialogue about how to tackle the issue can be a key first step in lifting that heavy burden.

By reaching out for advice about our circumstances, we can begin to put ourselves back on track. Last year, moneyadvice.scot saw an 80 per cent rise in cases in just three months with around a third of calls relating to concerns about credit scores.

Advisors can talk through both ‘priority’ debts, such as mortgages, rent, council tax and gas and electricity bills, and ‘non-priority’ debts like credit cards, overdrafts and personal loans. It is important that we get on top of priority debts as they can cause potential legal problems including eviction, disconnection of service and repossession of property. However, non-priority debts also require attention as issues like unpaid energy bills can result in suppliers switching customers from credit to prepayment meters to recover arrears, which end up being more expensive in the long run.

Our energyadvice.scot service offers advice on energy bills and can make referrals to sources of support like the Scottish Government’s home heating support fund. Advisors can also provide information on the practicalities of having a prepayment meter, for example, the types of discretionary credit available, and the priority services register, which protects vulnerable households from being cut-off.

In many cases, money worries are interlinked, with rising energy bills going hand-in-hand with increasing debt. All our services are connected, and staff can identify and deal with multiple issues.

We also know that in Scotland, around half a million people are not claiming the financial support they are entitled to. Advice Direct Scotland’s free benefits calculator at www.advice.scot is the first to fully integrate devolved benefits and can be used as a tool to ensure you are receiving everything you are eligible for. We would encourage anyone experiencing serious money worries to get in touch with our teams and allow us to support you.

Andrew Bartlett is chief executive of the charity Advice Direct Scotland, which runs the national advice service advice.scot, debt and money advice service moneyadvice.scot, energy advice service energyadvice.scot and consumer advice service consumeradvice.scot.