One in eight Britons could struggle to make ends meet this month after spending more than they could afford over Christmas, a charity has warned today.
The Money Advice Trust said more than 12 per cent of the 2,000 people polled expected their finances to slip back in January as a result of their spending over the festive period.
The survey comes as official figures published yesterday show new personal debt in the UK soared to its highest level in more than six years in November.
Consumer credit – which is made up of people’s borrowing on credit cards, loans and overdrafts – saw its strongest increase since early 2008 in the run-up to Christmas as shoppers took advantage of store promotions, according to the Office for National Statistics.
Consumer credit increased by £1.3billion in November, which is higher than the average monthly increase of £1billion seen over the previous six months and the largest upswing seen since a £1.4billion increase in February 2008.
Howard Archer said the surge in consumers snapping up items on Black Friday ‘likely contributed to the high borrowing levels’.
Here is a link to the ‘This Is Money’ Article we refer to: