A Quarter Of People Seeking Debt Help Receive Benefits Or Tax Credits

Over a quarter of people seeking debt help with Consumer Credit Counselling Service’s (CCCS), a leading debt charity, are receiving benefits or tax credits.

In order to study the impact of the recently announced cuts in welfare spending, the CCCS studied how many of its clients were receiving the five main income replacement benefits.

The review found that 110,000 people seeking the charities debt help were claiming at least on income support benefit of tax credit.

Those who are receiving benefits claim an average of £478 per month which represents more that a third of their income.

These findings illustrate how reductions in welfare payments could affect those who are already struggling with poor personal finances, as Delroy Corinaldi, CCCS External Affairs Director, points out:

“The imminent benefit changes are likely to have a significant impact on their ability to manage their already difficult financial situation. CCCS is going to monitor the impact that the cuts have on families throughout the UK.”

The CCCS Debt Remedy service is available at www.cccs.co.uk