Analysis of Google search data reveals that searches for “apply for a loan” exploded by 295% in the UK as of 26 August 2022, which is the highest level in over a year.
Last week Ofgem announced that there will now be an 80.06% rise in the energy price cap from 1 October which will see households annual bill rise to £3,549.
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The analysis, by finance experts Loan Corp reveals that searches for ‘apply for a loan’ exploded to almost triple the average volume within the past week, an unprecedented increase in Brits seeking information about loans, according to Google search data analysis.
The data also reveals that searches for ‘loans’ have exploded 123% since the announcement was made.
A spokesperson from Loan Corp said, “This week the British public have been faced with the news that energy prices are set to rise exponentially in the coming months, leaving many looking for alternative means to make ends meet.
“However, the latest Ofgem announcement has also encouraged a surge of online interest in taking out a loan, highlighting the massive impact the cost-of-living crisis is having on the public.
“Taking out a loan is a decision that should be made with thorough research and with costs across other sectors rumoured to continue to rise, it will be interesting to see whether these searches translate into loan applications.”
Adam Scorer, chief executive of fuel poverty charity National Energy Action warned, “The scale of harm caused by these price rises needs to sink in.
“A warm home this winter will be pipedream for millions as they are priced out of a decent and healthy quality of life.
“Households need money in their pockets to weather this storm or we are going to see millions in dangerously cold homes, suffering in misery with unimaginable debt and ill health.
“Action is needed now to prevent the bleakest of winters.”