New figures from Money Wellness show that debt is having an increasing effect on mental health, sleep and personal relationships, even as fewer people report that it affects every part of their lives.
The data, released ahead of Debt Awareness Week from 16 to 22 March, is based on a survey of 5,000 customers. It shows that 81% of respondents name money as their primary stress, up nine percentage points from 2024. A total of 87% say they feel stressed most of the time, and 85% say their mental health has directly influenced how they manage their money.
The overall percentage of people who say debt affects every area of their life has edged down from 55% to 50%. But in specific areas, the situation has got worse. The proportion of people saying debt has damaged their relationships has gone from 23% to 35% since 2024. Sleep disruption caused by financial worry has risen from 24% to 26% over the same period. People in the survey describe difficulties keeping up with payments, anxiety around creditor contact and a sense that money stress has become part of daily life rather than an occasional worry.
Sebrina McCullough, Director of External Relations at Money Wellness, said: “Financial stress is often discussed as though it’s a steady background pressure. What our latest data shows is that for many people, it’s becoming more intense and more focused. While slightly fewer customers say debt affects every area of their lives, we’re seeing sharper impacts on mental health, relationships, and sleep. That tells us the pressure isn’t disappearing, it’s concentrating.
“We are also seeing a clear cycle develop. Money worries damage mental health, and poor mental health can make it harder to manage bills, respond to creditors, or seek support. Without help, that cycle can escalate quickly.”
The research also captures what happens when people do seek support. More than two-thirds of customers who received advice from Money Wellness said they felt a weight had lifted. Over half felt less anxious, and 43% said they were sleeping better as a result.
“The earlier people seek advice the better, but it’s never too late. No one should feel they have to cope with debt and money worries alone. There is free, confidential support available, and taking that first step can provide immediate relief,” added McCullough.
As Debt Awareness Week draws closer, Money Wellness is asking people to seek advice before their situation becomes harder to resolve.
