Personal debt in Britain has grown by more than 30% according to a new survey.
The average Brit now owes £5,886 excluding mortgage repayments according to research undertaken by fairinvestment.co.uk.
The figure represents a 30% increase from the same month last year, based on the findings of a similar study from Credit Action, which calculated that the average Briton was facing a combined credit card, store card and personal loan debt of £4,524.
The rise has been attributed to the soaring cost of living, which has forced consumers to rely more and more on borrowing to make ends meet.
Matt Edwards, spokesperson for fairinvestment.co.uk, said: "As people contend with rising fuel and food costs, it is no surprise that they have to borrow more.
"However, the downside of this will be the interest rates that could soon eat into people’s pockets, as credit card and loan rates have risen considerably since the credit crunch began last year."
Post new comment