Rising living costs causing debt problems
Rising living costs causing debt problems
Thursday 24th July 2008
In a poll conducted by Mintel, 39 per cent of those surveyed admitted that their finances are now 'pretty tight' as a result of soaring food and energy bills and higher mortgage repayments.
This compares to a figure of 26 per cent who said that they were in this situation in 2006.
Over the same timeframe, the number of people who confessed they are 'struggling' with meeting their living costs has doubled to four per cent.
Toby Clark, a senior finance analyst at Mintel, said that the data showed that there has been a clear "deterioration in people's perception of their financial situation over the last two years, as rising interest rates and higher living costs have really started to take hold".
Higher living costs are believed to have been the principal factor behind a surge in the number of Britons seeking out professional debt advice about debt management plans this year.
In June the Insolvency Service revealed that 102,792 people went into bankruptcy or entered into an Individual Voluntary Arrangement (IVA) in the 12 months to March.
Debtsolver - Free, Expert, Confidential Debt Advice.
Related News
Water company fears rise in bad debt - 24/07/08
Water company Severn Trent has warned it expects a rise in bad debt among its customers this year, as households struggle with mounting pressure on their finances
Water company Severn Trent has warned it expects a rise in bad debt among its customers this year, as households struggle with mounting pressure on their finances
Credit card debt becoming more expensive - 23/07/08
Britons are paying higher rates on their credit card debt, as lenders look to recoup losses suffered in the credit crunch, new research has shown
Britons are paying higher rates on their credit card debt, as lenders look to recoup losses suffered in the credit crunch, new research has shown
Homeowners' relief 'could be short-lived' - 22/07/08
The respite offered to debt-hit homeowners by a fall in the cost of fixed rate mortgages is likely to be short-lived, it has been claimed
The respite offered to debt-hit homeowners by a fall in the cost of fixed rate mortgages is likely to be short-lived, it has been claimed
Student faces debt of £800 after going overdrawn by 8p - 22/07/08
Banks are set to come in for renewed criticism over their approach to customer debt after an A-Level student was hit with a fine of £800 when she went overdrawn by just eight pence
Banks are set to come in for renewed criticism over their approach to customer debt after an A-Level student was hit with a fine of £800 when she went overdrawn by just eight pence
British Gas price hike adds to consumers' debt woes - 22/07/08
Debt management firms' predictions of a surge in the number of people set to seek debt advice this year have been lent new credence with the news that energy prices could be set to soar by 30 per cent in the next six weeks
Debt management firms' predictions of a surge in the number of people set to seek debt advice this year have been lent new credence with the news that energy prices could be set to soar by 30 per cent in the next six weeks
News Article Search
Quick Apply
News Archive