Debt problems surge as consolidation fails

clock

Debt problems have increased by 15% in January, compared to a year ago, while 66% of people taking out consolidation loans use them as a "licence to go spending again".

Citizens Advice, the national charity, says a survey of around 230 bureaux in England and Wales revealed they had dealt with more than 83,000 debt problems in January, the equivalent to more than 3,700 debt problem every working day. It says this is a rise of 15% compared to January 2006, with the problems reported showing an increase in issues relating to basic essentials such as fuel and housing costs, along with council tax arrears, telephone debts and water and sewerage costs. In addition, the CAB says debts relating to credit, store and charge cards still remain high, with the su...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Advisers zoomed in on capital accumulation in Q4 2025

Advisers zoomed in on capital accumulation in Q4 2025

Titan Square Mile research finds

Jen Frost
clock 30 January 2026 • 3 min read
Measure for measure: How to track your tracker fund

Measure for measure: How to track your tracker fund

Tracking difference and tracking error

Terry McGivern
clock 28 January 2026 • 3 min read
SJP and AJ Bell pivot from US mega-caps in MPS as concentration woes continue

SJP and AJ Bell pivot from US mega-caps in MPS as concentration woes continue

Healthcare, energy and EM preferred

Linus Uhlig
clock 28 January 2026 • 2 min read