UK debt worries mount
Published On 23 August 2007
Nearly 2.5 million people in the UK are concerned about their levels of personal debt, new research shows.Consumer website moneyexpert.com found that 2.48 million adults in the UK said that they were "very concerned" about their current debt levels and that they were worried that rising interest rates would stretch them further.
Furthermore, the figures showed that 25 per cent of Brits have increased their debt on things like mortgages, loans and credit cards in the past three months. A concerning seven per cent said that they have had to increase their borrowing by 20 per cent over the last quarter.
"With more than 2.48 million very concerned about keeping on top of their debts it is clear that there is a serious crisis brewing," Sean Gardner, chief executive of the site, commented.
"Anyone who is very concerned about their ability to keep on top of their debts is heading for serious trouble if they do not take action now.
"There are, however, plenty of ways for people to get their debts under control from consolidating their borrowing to using the equity in their home through a secured loan. It is important that people act and do not bury their heads in the sand."
Finally, the website's data showed that just 23 per cent of people in the UK are debt free at the moment.
Figures from the Insolvency Service show that 10,698 people used IVAs in the second quarter of the year to manage their personal debt.
