UK lent £26bn to friends in 2007
Published On 14 December 2007
People in the UK made loans to friends and family over the course of the last year that totalled £26 billion, according to a new study.Research carried out by PayPal found that some 29 million adults have lent relatives or friends cash during 2007 and are owed an average of £898.52 each.
More than a quarter of people in the UK have loaned family members money, but 9.6 million lenders admit they have fallen out with relatives over the loans.
"Everyone will, I'm sure, have either borrowed or lent out money to friends and family, often on the spur of the moment, however as the study has shown these potentially small amounts of money can soon add up," said Cristina Hoole from PayPal UK.
"On average we're each owed almost £900 and with Christmas just round the corner perhaps we should be looking to call in some of those unpaid loans rather than relying on credit to see us through."
A separate study from Abbey revealed earlier this year that the average amount lent per loan to a friend is £116. Some 36 per cent of people said the money was needed to 'tide them over' to payday.
