Citizens Advice reports sharp rise in debt problems
Thursday, 25 February 2010 10:43
By myfinances.co.uk staff
There was a sharp increase in the number of consumers seeking help with debt issues from Citizens Advice Bureaux in England and Wales during the last quarter of 2009, the charity has said.
Overall, its offices handled 1.7 million cases between October and December, 20 per cent more than in the corresponding period of 2008.
Debt problems were up 24 per cent year-on-year, with cases suggesting the impact of the recession has left many people struggling with everyday expenses.
The charity said the number of consumers seeking advice with fuel bills was up 32 per cent in the fourth quarter, while enquiries about dealing with phone debts were 30 per cent higher.
There was also a 25 per cent increase in cases involving overdraft problems compared with the last three months of 2008.
Citizens Advice chief executive David Harker said: "These figures give a stark insight into the human cost of the recession, coming as they do on top of what were already record-breaking enquiry figures for the previous three months."
Recent figures from moneysupermarket.com show ten per cent of British adults are permanently overdrawn on their bank account.
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