For millions of homeowners, a mortgage is the biggest monthly financial commitment. Our latest research shows just how much pressure those payments are putting on household budgets and what borrowers would do if they suddenly had a little more financial breathing room.
Mortgage payments are the biggest source of financial pressure
In our recent survey, we found that more than half (51%) of mortgage holders say their repayments place them under moderate, great or overwhelming financial pressure.
When asked which monthly expense causes the most stress, mortgage payments ranked highest, with 42% identifying them as their biggest financial concern. That was more than twice the proportion who cited food shopping (20%) and ahead of energy bills (17%).
The impact is not just financial. More than half of respondents (51%) say they worry about their mortgage payments at least once a month, highlighting the emotional strain that housing costs can place on households.
How much are people paying?
Mortgage repayments represent a significant monthly outgoing for many homeowners.
Almost half (47%) pay between £500 and £999 per month, while 39% pay £1,000 or more. Around one in eight (12%) pay at least £1,500 each month.
For those paying between £500 and £999, that's between £6,000 and £11,988 a year spent on mortgage repayments alone, a substantial proportion of the average UK salary, which was £39,039 in 2025, according to the ONS.
Save or spend?
We also asked mortgage holders what they would do if six months of mortgage payments were covered for them.
Despite the financial pressures many face, most would choose to strengthen their finances rather than increase their spending. More than 85% said they would save the money, while just 9.6% said they would spend it.
The findings suggest that extra financial breathing room would be used to build savings and improve financial security rather than fund additional purchases.
That said, not everyone would save every penny. Among those who would spend some of the money, 29% would put it towards a holiday or travel, while 23% would use it for home improvements. Kitchens, bathrooms and redecorating projects were among the most popular renovation plans.
What can you do if your mortgage is putting pressure on your finances?
If your mortgage is taking up more of your budget than you'd like, there are steps you can consider:
- Review your mortgage early. Start exploring your options several months before your current deal ends rather than moving onto your lender's Standard Variable Rate
- Look beyond the interest rate. Fees, incentives and overall borrowing costs can make a big difference to the true cost of a mortgage
- Consider overpayments if affordable. Reducing your mortgage balance can lower the interest you pay over time, although overpayment limits and charges may apply
- Seek advice if you're struggling. Options such as extending your mortgage term may reduce monthly payments, though they can increase costs in the long run
- Think about payment certainty. Fixed-rate mortgages can make budgeting easier by keeping repayments predictable for a set period
Reviewing your mortgage regularly and understanding the options available could help you manage costs more effectively. If you're approaching the end of your current deal or wondering whether a better option is available, speaking to a mortgage adviser can help you understand your choices and find a solution that suits your circumstances.
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