Personal loan statistics

Find out what the average interest rate on a personal loan is in the UK.

Brits have been taking out personal loans for decades – to go on a well deserved holiday, to refurbish their houses, to buy their first cars. But how many people are doing it exactly? And is it more expensive now than it was 15 years ago?

Personal loans are a type of unsecured loan, in other words, a loan granted based on factors such as a person’s income and credit score, rather than being backed by anything concrete. In our report below, you’ll find exact figures from the Bank of England relating to these loans, spanning over the past 25 years. The charts and tables below contain the most recent available data, as at the start of each month.

Quick overview

  • The latest borrowing statistics from the Bank of England found that in June 2022, the average APR for a £10,000 loan was 4.11%– the highest level since August 2016.
  • The average APR for a £5,000 personal loan rose to 8.2% in June, up from 8.14% in May.
  • The average APR for an overdraft was as high as 35.2% in June 2022
  • The average total debt is £64,581 per household (including mortgages), which is 7% (£4,218) more than 2020.
  • By postcode area, Northampton (NN) has the highest level of personal loan debt per capita in the UK at £753.
  • This is closely followed by Salisbury (SP), which has a per capita personal loan debt of £750.
  • Personal Debt

    Personal debt has increased in 2022, with the UK population owing £1,794.8 billion by the end of May 2022. In 2020, personal debt fluctuated between £1,680- £1,697 billion.

    The average total debt per household, including mortgages, was £64,581 in May 2022. It has been high since March 2022 (above £64000). This amount has been increasing every month since January 2020.

    Region 2009 2010
    Spain 12.11 11.35
    France 10.51 10.53
    Italy 2.82 2.63
    USA 3.54 3.92
    Rep. of Ireland 4.05 3.83
    Netherlands 2.01 2.05
    Greece 1.99 1.85
    Germany 2.33 2.51
    Portugal 1.91 2.08
    Poland 1.66 1.64
    Turkey 1.72 2.01
    Belgium 1.54 1.66
    India 0.96 1.04
    Switzerland 0.94 1.06
    Romania 0.16 0.18
    United Arab Emirates 0.61 0.59
    Cyprus 1.06 1
    Hungary 0.25 0.31
    Malta 0.39 0.49
    Morocco 0.33 0.35
    Czech Republic 0.47 0.42
    Pakistan 0.43 0.5
    Canada 0.52 0.5

    Interest rates on personal loans

    The interest that is charged on personal loans has varied wildly over the years, with the interest rates on £10,000 loans being consistently lower than those on £5,000 loans.

    £5,000 loans

    In June 2022, the interest rates for a £5,000 loans were at an average of 8.2%. This is higher than the rates seen during the fourth quarter of 2021 and first quarter of 2022. In 2019, the average was slightly lower at 7.8%, the lowest rate in over a decade. £5,000 loans reached their peak interest rates in 2012, with an average of 13.2%.

    Month Total write-offs (in £ million)
    Mar 2022 773
    Dec 2021 902
    Sep 2021 982
    Jun 2021 958
    March 2021 1042
    Dec 2020 960
    Sep 2020 940
    June 2020 851
    Mar 2020 386
    Dec 2019 433
    Sep 2019 456
    Jun 2019 353
    Mar 2019 341
    Dec 2018 305
    Sep 2018 342
    Jun 2018 282
    Mar 2018 228
    Dec 2017 140
    Sep 2017 185
    Jun 2017 136
    Mar 2017 149
    Dec 2016 237
    Sep 2016 182
    Jun 2016 182
    Mar 2016 259
    Dec 2015 458
    Sep 2015 190
    Jun 2015 230
    Mar 2015 422
    Dec 2014 253
    Sep 2014 439
    Jun 2014 287
    Mar 2014 214
    Dec 2013 219
    Sep 2013 477
    Jun 2013 194
    Mar 2013 419
    Dec 2012 381
    Sep 2012 445
    Jun 2012 435
    Mar 2012 588
    Dec 2011 425
    Sep 2011 579
    Jun 2011 760
    Mar 2011 858
    Dec 2010 925
    Sep 2010 959
    Jun 2010 1151
    Mar 2010 718
    Dec 2009 1799
    Sep 2009 1024
    Jun 2009 986
    Mar 2009 786
    Dec 2008 865
    Sep 2008 762
    Jun 2008 976
    Mar 2008 641
    Dec 2007 898
    Sep 2007 699
    Jun 2007 1018
    Mar 2007 914
    Dec 2006 1186
    Sep 2006 946
    Jun 2006 821
    Mar 2006 836
    Dec 2005 1597
    Sep 2005 684
    Jun 2005 793
    Mar 2005 512
    Dec 2004 633
    Sep 2004 489
    Jun 2004 593
    Mar 2004 493
    Dec 2003 469
    Sep 2003 524
    Jun 2003 463
    Mar 2003 491
    Dec 2002 542
    Sep 2002 446
    Jun 2002 390
    Mar 2002 524
    Dec 2001 405
    Sep 2001 351
    Jun 2001 331
    Mar 2001 325
    Dec 2000 345
    Sep 2000 253
    Jun 2000 235
    Mar 2000 259
    Dec 1999 394
    Sep 1999 275
    Jun 1999 285
    Mar 1999 266
    Dec 1998 240
    Sep 1998 206
    Jun 1998 205
    Mar 1998 203
    Dec 1997 225
    Sep 1997 252
    Jun 1997 217
    Mar 1997 300
    Dec 1996 316
    Sep 1996 231
    Jun 1996 240
    Mar 1996 279
    Dec 1995 346
    Sep 1995 215
    Jun 1995 181
    Mar 1995 224
    Dec 1994 237
    Sep 1994 198
    Jun 1994 182
    Mar 1994 228
    Dec 1993 304
    Sep 1993 193
    Jun 1993 179
    Mar 1993 267

    £10,000 loans

    The average interest rate for a £10,000 loan in June 2022 was 4.11% which is reasonably high compared to the last two years. From October 2016 up until April 2022, they were under 4%.

    Month Total write-offs (in £ million)
    Mar 2022 773
    Dec 2021 902
    Sep 2021 982
    Jun 2021 958
    March 2021 1042
    Dec 2020 960
    Sep 2020 940
    June 2020 851
    Mar 2020 386
    Dec 2019 433
    Sep 2019 456
    Jun 2019 353
    Mar 2019 341
    Dec 2018 305
    Sep 2018 342
    Jun 2018 282
    Mar 2018 228
    Dec 2017 140
    Sep 2017 185
    Jun 2017 136
    Mar 2017 149
    Dec 2016 237
    Sep 2016 182
    Jun 2016 182
    Mar 2016 259
    Dec 2015 458
    Sep 2015 190
    Jun 2015 230
    Mar 2015 422
    Dec 2014 253
    Sep 2014 439
    Jun 2014 287
    Mar 2014 214
    Dec 2013 219
    Sep 2013 477
    Jun 2013 194
    Mar 2013 419
    Dec 2012 381
    Sep 2012 445
    Jun 2012 435
    Mar 2012 588
    Dec 2011 425
    Sep 2011 579
    Jun 2011 760
    Mar 2011 858
    Dec 2010 925
    Sep 2010 959
    Jun 2010 1151
    Mar 2010 718
    Dec 2009 1799
    Sep 2009 1024
    Jun 2009 986
    Mar 2009 786
    Dec 2008 865
    Sep 2008 762
    Jun 2008 976
    Mar 2008 641
    Dec 2007 898
    Sep 2007 699
    Jun 2007 1018
    Mar 2007 914
    Dec 2006 1186
    Sep 2006 946
    Jun 2006 821
    Mar 2006 836
    Dec 2005 1597
    Sep 2005 684
    Jun 2005 793
    Mar 2005 512
    Dec 2004 633
    Sep 2004 489
    Jun 2004 593
    Mar 2004 493
    Dec 2003 469
    Sep 2003 524
    Jun 2003 463
    Mar 2003 491
    Dec 2002 542
    Sep 2002 446
    Jun 2002 390
    Mar 2002 524
    Dec 2001 405
    Sep 2001 351
    Jun 2001 331
    Mar 2001 325
    Dec 2000 345
    Sep 2000 253
    Jun 2000 235
    Mar 2000 259
    Dec 1999 394
    Sep 1999 275
    Jun 1999 285
    Mar 1999 266
    Dec 1998 240
    Sep 1998 206
    Jun 1998 205
    Mar 1998 203
    Dec 1997 225
    Sep 1997 252
    Jun 1997 217
    Mar 1997 300
    Dec 1996 316
    Sep 1996 231
    Jun 1996 240
    Mar 1996 279
    Dec 1995 346
    Sep 1995 215
    Jun 1995 181
    Mar 1995 224
    Dec 1994 237
    Sep 1994 198
    Jun 1994 182
    Mar 1994 228
    Dec 1993 304
    Sep 1993 193
    Jun 1993 179
    Mar 1993 267

    Quarterly personal loan write-offs

    The most extreme year for write-offs was after the financial crisis in 2008-2009 when £3.75 billion was written off in total in 2010. After 2010, the write-off trend started to decrease. In 2019, £1.58 billion was written off.

    In the first quarter of 2022, £773 million has already been written off. From this figure, £270 million was credit card debt which led to a daily write-off of £3 million.

    If the rest of 2022 follows the first quarter trend, written off debt could reach £3.09 billion for the year. This would be almost double the amount written off in 2019.

    Month Total write-offs (in £ million)
    Mar 2022 773
    Dec 2021 902
    Sep 2021 982
    Jun 2021 958
    March 2021 1042
    Dec 2020 960
    Sep 2020 940
    June 2020 851
    Mar 2020 386
    Dec 2019 433
    Sep 2019 456
    Jun 2019 353
    Mar 2019 341
    Dec 2018 305
    Sep 2018 342
    Jun 2018 282
    Mar 2018 228
    Dec 2017 140
    Sep 2017 185
    Jun 2017 136
    Mar 2017 149
    Dec 2016 237
    Sep 2016 182
    Jun 2016 182
    Mar 2016 259
    Dec 2015 458
    Sep 2015 190
    Jun 2015 230
    Mar 2015 422
    Dec 2014 253
    Sep 2014 439
    Jun 2014 287
    Mar 2014 214
    Dec 2013 219
    Sep 2013 477
    Jun 2013 194
    Mar 2013 419
    Dec 2012 381
    Sep 2012 445
    Jun 2012 435
    Mar 2012 588
    Dec 2011 425
    Sep 2011 579
    Jun 2011 760
    Mar 2011 858
    Dec 2010 925
    Sep 2010 959
    Jun 2010 1151
    Mar 2010 718
    Dec 2009 1799
    Sep 2009 1024
    Jun 2009 986
    Mar 2009 786
    Dec 2008 865
    Sep 2008 762
    Jun 2008 976
    Mar 2008 641
    Dec 2007 898
    Sep 2007 699
    Jun 2007 1018
    Mar 2007 914
    Dec 2006 1186
    Sep 2006 946
    Jun 2006 821
    Mar 2006 836
    Dec 2005 1597
    Sep 2005 684
    Jun 2005 793
    Mar 2005 512
    Dec 2004 633
    Sep 2004 489
    Jun 2004 593
    Mar 2004 493
    Dec 2003 469
    Sep 2003 524
    Jun 2003 463
    Mar 2003 491
    Dec 2002 542
    Sep 2002 446
    Jun 2002 390
    Mar 2002 524
    Dec 2001 405
    Sep 2001 351
    Jun 2001 331
    Mar 2001 325
    Dec 2000 345
    Sep 2000 253
    Jun 2000 235
    Mar 2000 259
    Dec 1999 394
    Sep 1999 275
    Jun 1999 285
    Mar 1999 266
    Dec 1998 240
    Sep 1998 206
    Jun 1998 205
    Mar 1998 203
    Dec 1997 225
    Sep 1997 252
    Jun 1997 217
    Mar 1997 300
    Dec 1996 316
    Sep 1996 231
    Jun 1996 240
    Mar 1996 279
    Dec 1995 346
    Sep 1995 215
    Jun 1995 181
    Mar 1995 224
    Dec 1994 237
    Sep 1994 198
    Jun 1994 182
    Mar 1994 228
    Dec 1993 304
    Sep 1993 193
    Jun 1993 179
    Mar 1993 267

    Postcode areas with the highest amount of personal loans per person

    The areas with the largest populations will typically have the highest outstanding amount of personal loans. However, by looking deeper into the data, you can reveal a different story on a per capita basis.

    Rank Area code Postcode area Outstanding balances Per capita
    1 NN Northampton £485.7 million £753
    2 SP Salisbury £170.9 million £750
    3 RG Reading £568.8 million £744
    4 SL Slough £269.0 million £733
    5 WA Warrington £446.0 million £733
    6 CW Crewe £223.6 million £733
    7 RH Redhill £378.5 million £723
    8 MK Milton Keynes £357.7 million £715
    9 DA Dartford £304.1 million £714
    10 CM Chelmsford £453.8 million £705

    Which regions have the highest amount of outstanding personal loans?

    We looked into how much each region in the UK owes in personal debt. London is unsurprisingly in the lead, with over £6 billion in outstanding personal loans. The South East follows closely in second with over £5.7 billion outstanding. The North East has the smallest amount of personal loan debt, with just under £1.6 billion.

    Sources used

    • The Bank of England
    • The Money Charity
    • The BBA
    Click here for more research. For all media enquiries, please contact:

    Matt Mckenna
    Head of UK communications
    T: +44 20 8191 8806
    matt.mckenna@finder.com@MichHutchison/in/matthewmckenna2


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