Friday 20th June, 2008 Debt Management News

Nearly 50% of the UK is worried about falling into debt and how they will cope with debt management over the next 12 months, a survey has revealed.

A YouGov survey, commissioned by Callcredit found that 46% of UK adults' main concern was how they were going to cope with the raising costs of household items and fuel. This lack of confidence in the financial future is most apparent in 35-44 year old age range who are worried about how higher inflation will impact on their home, job and debt levels.

It is clear that the current economic climate is causing great concern for those who are living on the financial margins. Master of stating the obvious, George Osborne, the shadow chancellor, believes that the British public is addicted to debt. This may be true, but this does not address the problems facing the government just now. Politicains should address what is causing the economic problems and not the fallout. Being in debt until very recently was seen as an expedient way to live your life and it fueled the economy. So long as the spending is under control, having a certain level of debt is good.

Debtwatchdog is a strong advocate of budgetary control and unlike many other debt advice organisations, we do recommend the use of debt consolidation loans as a debt solution, provided there is control of spending.

For those who are worried about the next 12 months worry, but do something which will alleviate your concern. Control of spending and thrift must be your bye-words, economise as much as possible, set spending and saving targets for yourself and family - once you have a plan in place you'll feel a lot better.

Visit our debt forum, if you feel that you have lost control of your debt or would like some advice on debt management or debt consolidation.