New data shows UK households are increasingly struggling to afford essentials as warnings grow that the cost of living crisis is set to continue.

The latest Which? consumer insight tracker, published on 13 March, 2026, found that half of households are now being forced to sell possessions, borrow money or use savings to cover daily costs.

The figures highlight the scale of pressure facing families, with 26% of households regularly dipping into savings just to bridge the gap between income and essential spending.

Confidence in the UK economy has also fallen sharply, dropping 13 points to minus 56, the lowest level recorded since the end of 2022.

Which? said the findings point to a growing sense of pessimism, with 67% of adults expecting the economy to worsen over the next 12 months.

Sue Davies said:

“Our research shows a concerning shift in consumer sentiment, with confidence in the economy hitting its lowest point in years as households face a daunting combination of rising prices and global instability.

“Pressure on budgets is becoming unsustainable for many.”

Further warnings have come from industry experts, who say global tensions could drive prices even higher in the months ahead.

Shipping expert Lars Jensen said the impact of the conflict involving Iran could be more severe than previous oil shocks and warned of worsening shortages and rising food prices.

He said:

“Rapidly escalating food prices” were likely as a result of fertiliser shortages, with the effects expected to last between six and 12 months even if conditions stabilise.

SNP Economy spokesperson Dave Doogan MP said:

“The Labour Party is failing families by refusing to lift a finger as the cost of living soars on Keir Starmer’s watch.

“The Prime Minister and the Chancellor are completely out of touch and don’t seem to understand the pressure that millions of hardworking families and businesses are under.

“Under the Labour Party, energy bills have soared and could soon be £700 higher than promised.

“Food and fuel prices are through the roof, inflation and mortgage rates are rising, and UK unemployment is at a five-year high.

“In the week that household bills will rise again, it is shameful that the Labour government isn’t doing anything meaningful to help the majority of working people.

“They just don’t get it.

“The Labour Party will never be forgiven if it leaves the majority of families in the lurch.

“Energy bills must be frozen, Keir Starmer’s fuel duty hike must be scrapped, and the Chancellor must deliver support for businesses who are already struggling thanks to Labour Party National Insurance and energy tax hikes.

“The constant cost of living crisis in Broken Brexit Britain shows why Scotland needs a fresh start of independence and full control of our huge energy wealth with independence.

“That is what the SNP is offering at the election on 7th May.”

The latest figures underline growing concern about household finances, with rising costs, global instability and economic uncertainty continuing to shape daily life across the UK.