One in seven adults in Wales is cutting back on everyday spending to keep up with rent or mortgage payments, new research has found, underlining the growing housing affordability crisis across the country.
Housing charity Shelter Cymru said people in Wales are facing sharper rent increases than anywhere else in the UK, pushing many households closer to homelessness. Almost half of private renters now expect they will have to reduce spending further just to afford their rent in the future.
Speaking to ITV Wales, Shelter Cymru policy manager Lauren Caley said the problem is widespread and affecting ordinary families across the nation.
“This is happening all across Wales – it’s people that we all know that are facing this financial pressure,” she said.
Caley explained that many households are already making difficult sacrifices as housing costs take priority over basic comforts and seasonal spending.
“We know from our casework that people are turning the heating on less, they’re having much smaller-scale Christmases, or potentially Christmas isn’t happening at all,” she said.
“But that home is so, so essential – that is a cost that people prioritise. They try to see where they can cut back in other areas and those niceties are the first to go, which is really difficult as we move towards Christmas.”
She warned that the impact on children is particularly stark, with many families already living in temporary accommodation.
“There are hundreds and hundreds of children all across the country who will be trying to celebrate in hotels, B&Bs, hostels, and refuges, all with their family trapped in one room,” Caley added.
Welsh Government data shows that during 2024–25 the most common reason people sought help from their local council when facing homelessness was the loss of rented or tied accommodation, highlighting the pressure in the private rental sector.
In response, the Welsh Government said it recognises the strain households are under and pointed to increased investment in housing support and homelessness prevention.
“We recognise the very real pressures families across Wales are facing with housing costs, and we work closely with partners like Shelter Cymru to support people experiencing housing insecurity,” a spokesperson said.
“We’re tackling this through prevention, investing almost £240 million this year in homelessness prevention and housing support. This includes more than £204 million through the Housing Support Grant and schemes like Help to Stay Wales, which help people maintain their tenancies and mortgages before they reach crisis point.”
The government added that recent reforms have strengthened renters’ rights and improved housing standards, while long-term investment aims to increase the supply of affordable homes.
“The Renting Homes (Wales) Act has given renters greater security and clearer rights while ensuring homes meet decent standards,” the spokesperson said.
“We’ve also invested more than £2 billion this Senedd term to deliver some of the highest levels of additional social housing in almost 20 years, providing secure and affordable homes for those who need them most.”
Housing charities warn that without further action to curb rising rents and improve affordability, more households across Wales could be forced into crisis in the months ahead.
