FICO’s latest UK Credit Card Market Report for July 2025 shows that average active balances climbed to £1,895, up 5.1% year-on-year, despite a seasonal dip in spending to £800. At the same time, the percentage of balances being repaid fell 7.7% from last year to 34.9%, underscoring rising affordability pressures on households.

Missed payment balances are also trending upward, with customers missing three payments carrying an average balance of £3,300, an 8.1% year-on-year increase. FICO warns that these indicators point to growing financial stress and advises lenders to tighten credit strategies and prioritize early support for at-risk customers to mitigate risk and safeguard profitability.