Debt In 2015-16 Expected To Be £106,418 Per Householdposted on 2 August 2011 | posted in Debt Statistics | ( 2 ) Comments£55,803 (including mortgages) is the average household debt including mortgages in the UK today. Research by the charity Credit Action suggests that banks and building societies are writing off £20.71m of loans every day, and 829,000 people have been unemployed in the UK for more than 12 month. Some figures have shown that nearly 1,271 people are being made redundant daily, and as consumers begin to tighten their belts and focus on getting professional debt help, the figuresare set to rise with advisors at Integrity seeing daily rises in the number of people struggling with personal finances. The costs of living has risen by about 5% since last year and with credit cards and credit debt one of the main factors of personal debt in the UK ,£178m is the personal interest paid in UK daily and £68.05 is the amount it costs to fill a car with a 50-litre tank with unleaded petrol. UK banks and building societies wrote off £9.5bn of loans to individuals in the 4 quarters to end Q1 2011. In Q1 2011 they wrote off £1.89bn (£866m of that was credit card debt). This amounts to a write-off of £20.71m a day. Average household debt in the UK is ~ £8,064 (excluding mortgages). This figure increases to £15,507 if the average is based on the number of households who actually have some form of unsecured loan. Average household debt in the UK is ~ £55,803 (including mortgages). If you add to this the March 2010 budget report figure for public sector net debt (PSND) expected in 2015-16 (excluding financial interventions) then this figure rises to £106,418 per household. Insolvency figures may have shown a drop in the number of people seeking personal insolvency but these figures are set to rise dramatically with advisors on the ground seeing the affect first hand. Darren Perks advisor at Integrity commented: "It is plain and simple in your face reality. People now cannot manage to keep up with price rises and it will be home owners that get hit the hardest when interest rates start to rise later this year. The government now has to step in and control what is happening. If they don't this country is facing a very bleak future. People cannot ignore the fact they are struggling, now is the time to get professional debt help with the right advice." He also commented on recent reports of bad advice in the debt industry: "People have to be aware that free debt advice from charities may not be what it seems. On a daily basis we are hearing more and more reports of people being advised on the wrong things especially when it involves property and debt. This has also been the case with some debt management companies and is now a common trend. My advice would be to seek professional help and advice if you are un-sure. There is more than one debt solution available in the UK right now, and people have to be advised on all of them and they must be free to choose which one suits them best. People need to be well aware of companies that mis-sell to them and charge high fee's and make money with no regard for the person in debt's situtation or well being." Full debt statistics can be found here: Debt Statistics August 2011 If you have any concerns about debt and need advice with professional help thats fair and totally impartial, then call Integrity now on 01743 272900 Share this blog entry:
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Comments ( 2 ) - Add Your Comment
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Your right, but I would definately get debt advice, it`s complecated enough being in debt, but getting the right help is a must. The testimonials on this website say it all.
by Dave on 3 August 2011 14:32 |
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