The Unexpected Bills Club: 2026 report

Life is unpredictable and it's almost impossible to have savings ready for every surprise. When an unexpected cost hits, many of us need to bridge the gap and that's okay.

While it’s not always possible to plan for every situation, having access to the right options can make surprise costs easier to manage. We spoke to 2,000 UK adults to understand how they deal with these 'curveball' costs.

Key findings - Summary

• 69% of UK adults have faced significant unexpected expenses before

• Average cost of large bills in the last 12 months was £10,996

• Urgent vehicle repairs are the most common type of large bill (28%)

• The average cost of a micro bill is £137

• Phone repairs (36%) and laptop repairs (26%) are the most common micro bills

• 22% of adults have no savings for a bill emergency to fall back on

• 75% of people dip into personal savings to cover unexpected bills

• Young adults (25-34) are the most affected age group (79%)

• Regions with the highest impact: Northern Ireland (82%), North West (76%) and East England (74%)

• Cities with the highest impact: Belfast (83%), Norwich (78%), and Manchester (76%)

Dealing with unexpected bills

How common are they?

If you've ever been hit by an unexpected bill you didn’t see coming, you’re in good company. Almost seven in ten of us (69%) have been caught off guard by a significant expense, with over a third experiencing it more than once.

In the last 12 months alone:

• 38% of us faced one large, unexpected bill

• 24% dealt with two

• 11% handled three

These numbers show that while these bills are a surprise, they are also a regular part of life that many of us are currently navigating.

Age trends

Experiences of large, unexpected bills vary by age. Adults aged 25-34 are the most likely to be affected, with 79% reporting large surprise bills. This is followed by those aged 35-44 (77%), 45-54 (73%), 18-24 (66%) and 55+ (62%).

This pattern suggests that younger and midlife adults are more likely to encounter large, unexpected expenses, possibly due to life transitions such as moving into new homes, starting families, or managing vehicle and household maintenance.

Older adults may face fewer surprises, potentially reflecting more stable housing situations, established routines, or higher levels of savings and insurance.

Overall, the data highlights that while unexpected bills affect all age groups, those in the 25-34 range appear the most exposed, emphasising the importance of financial planning during those life stages.

The 'Club' across the UK

Mortgaged homeowners (83%) and guardians of under 18s (88%) are the highest group to report experiencing large, unexpected bills, compared with 69% of private renters and 60% of non-parents or guardians. This suggests that greater financial responsibility may increase exposure to higher-cost surprises.

Our survey also highlights which areas are most affected by large, unexpected bills. The results below show the top cities where respondents say they have been caught off guard by one:

While large bills are common across the UK, these city-level insights suggest that certain areas may face higher exposure to unexpected expenses, potentially reflecting local living costs, housing responsibilities, or service repair rates.

The most common unexpected large bills

Urgent and unavoidable costs are usually what catch us out. From the car failing its MOT to the dog needing a vet visit, these are the top 10 last minute bills affecting people’s finances:

Vehicle-related costs appear multiple times in the top 10, showing they are one of the most frequent sources of unplanned spending. Household issues, such as boilers, plumbing and appliances, also feature prominently.

Building your safety net: Tips from Abigail Foster

We asked our personal finance expert, Abigail Foster, for her take on how you can budget for a ‘safety net’ without the stress.

Our personal finance expert Abi Foster shares three simple tips to help you feel more prepared for unexpected bills and build a stronger financial safety net. In this video, she looks at whether you have an emergency fund in place, understanding what your insurance could cover, and knowing your options before a surprise cost arises. Abi’s practical tips focus on everyday steps that can make financial planning feel more manageable and may help to reduce the stress when unexpected expenses occur.

How much do large bills cost?

The average cost of large, unexpected bills over the past 12 months is £10,996. This figure reflects the combined cost of all large bills experienced, whether that was one expense or multiple over the year.

However, costs vary widely:

• Almost half of respondents (49%) spent up to £2,500

• 21% spent between £2,501 and £5,000

• 5% were billed between £10,001 and £20,000

While the highest costs are less common, even lower range expenses can add up. For example, a £2,500 bill equates to just over £200 a month across a year, showing how these costs could affect everyday budgets.

When the little things add up

How common are smaller unexpected bills?

Smaller, day-to-day emergencies, such as phone or laptop repairs, lost keys or minor health costs, are also common. Over half of people (51%) say they have been caught off guard by a micro bill.

In the past 12 months alone:

• 37% experienced one micro bill

• 26% experienced two micro bills

• 15% experienced three micro bills

The most common micro bills

Smaller, everyday expenses can catch people off guard and add up quickly if several occur close together. Our survey revealed which types of micro bills occur the most often.

Tech issues dominate the list, while health-related costs (dental, prescription, eye test) appear multiple times, highlighting a common area for micro bills.

How much do micro bills cost?

The average cost of micro bills over the last 12 months is £137.16.

Most people spent:

• £51-£100 (34%)

• £101-£150 (25%)

• £151-£200 (16%)

Even though micro bills are smaller individually, if multiple bills occur in a short period, they could quickly add up to something more impactful.

The ripple effect on our wallets

Have people had to cancel plans because of a bill?

Unexpected costs can have a ripple effect on everyday life and can cause people to reprioritise their spending. Our survey shows that people often adjust spending in response to surprise costs. The most common changes include delaying or pausing:

• New clothes or accessories (23%)

• Home improvements (17%)

• Hair and beauty treatments (16%)

• Savings contributions (15%)

• Subscription payments (14%)

• Holidays (13%)

• Debt repayments (12%)

These results highlight that surprise costs don’t just create short-term stress, they can also influence everyday routines, lifestyle choices and financial priorities.

The emotional impact of unexpected bills

The impact extends beyond just financial, with over half of people (56%) feeling stressed about unexpected expenses. Nearly one in three (30%) have experienced panic, and 25% say they felt overwhelmed.

Savings and financial preparedness

Do people have savings for unexpected bills?

Most people have some level of financial safety net, with three-quarters (75%) reporting to have savings for emergencies:

• 45% say their savings would fully cover an unexpected bill

• 30% have some savings, but not enough to cover the full cost

Even with savings in place, the gap between the average large bill (£10,996) and the average emergency savings (£3,553) shows that many people may need to rely on alternative options, such as loans, credit cards or insurance, to manage larger unexpected costs.

How much have people saved?

The average emergency savings pot is £3,553, with variations by age (from highest to lowest):

Younger adults tend to have lower savings than older age groups, who may have had more time to build up their funds. This could mean a higher reliance on short-term financial solutions when emergencies occur for those in younger age groups.

Do unexpected bills cut into personal savings?

Almost three-quarters of people (75%) have had to dip into their personal savings in order to manage a surprise cost. While half (50%) had enough in personal savings to cover the cost in full, one in four (25%) found that their savings weren’t enough to cover the entire bill.

For the remaining 22%, there were no savings to fall back on at all, making unexpected bills a major financial strain.

How would people cover bills if they couldn’t work for 3-6 months?

If faced with an emergency preventing work, respondents reported they would rely on a mix of financial resources:

• Personal savings (36%)

• Emergency savings (21%)

• Credit cards (20%)

• Universal credit (17%)

• Borrowing from a loved one (14%)

• Company sick pay (14%)

• Statutory sick pay (12%)

• Loans or insurance (7-9% each)

Around one in ten said they wouldn’t be able to cover essential bills at all. This highlights that even with some savings, unexpected events might create gaps that need planning and access to additional resources.

Preparing for the unexpected

What would help people feel more prepared?

Our research shows that proactive planning might increase confidence when dealing with unexpected bills:

• 58% said an emergency fund would help them feel more prepared

• 29% said better financial planning

• 15% said insurance

Around 16% said nothing would make them feel more prepared, highlighting that some financial surprises are difficult to fully anticipate.

What our expert says...

“Unexpected bills can throw even careful budgets off track but building an emergency fund where possible can help cover one-off costs and reduce financial pressure. It can also help to regularly review your budget and outgoings, so you know what is coming in and going out. If borrowing is needed, it’s important to consider the cost of credit and choose options that you can realistically afford to repay.”

Charlie Evans, Personal finance expert

Expert tips to prepare for unexpected bills

You don't need to have all the answers right now. Here is how you can start feeling more prepared:

• Build an emergency fund gradually: Even small, regular contributions add up over time, helping to cover future bills without stress. Setting up a rainy-day savings account and adding a small amount in each month, could help cover costs when needed.

• Check insurance cover: Review home, pet and vehicle policies to ensure you’re protected against common emergencies

• Plan for known risks: Factor in routine maintenance and predictable costs, such as boiler servicing or vehicle checks, to reduce surprises.

• Have flexible options ready: Options such as savings, loans, or support from family and friends can help you manage larger unexpected costs by spreading payments or covering short-term gaps.

How to cover unexpected bills

When surprise expenses occur, having options to manage the cost could help reduce stress and protect your overall finances as well. Many people rely on a combination of savings, credit, loans, or insurance to cover bills like this.

For larger costs, options such as personal loans or credit cards might give a temporary buffer, while insurance policies, such as home, vehicle or pet cover, could potentially help protect against common emergencies. For smaller, everyday surprises, dipping into an emergency fund or adjusting short-term spending may be enough to manage the impact.

If you are considering borrowing, or want to plan ahead, there are resources available on how to apply for loans and credit safely. By understanding the tools available, you can approach unexpected bills with greater confidence and stay on top of your expenses.

Methodology

Based on a nationally representative survey of 2,000 UK adults conducted between 11.03.26 - 13.03.26.

The figures reflect self-reported experiences of unexpected bills. Respondents included a mix of ages, life stages, housing situations, and parental status, giving a broad snapshot of how unexpected bills affect people across the UK.