Indebted consumers around the UK have become increasingly nervous in recent months, it has been suggested.
According to the Liberal Democrats’ treasury spokesperson Vince Cable, the UK economy is in an “extremely vulnerable” position and this uncertainty is feeding consumers’ fears over their own debt management problems.
Furthermore, Mr Cable has claimed that house prices around the country have been rising in a “bubble” that could soon burst and leave many people with further financial difficulties.
“I think the British economy is extremely vulnerable. It is extremely vulnerable partly because the government has very little freedom of manoeuvre,” he told BBC Two’s Newsnight programme.
“We have this mountain of personal household debt which people are becoming very nervous about.”
The UK’s overall debt management burden increases by close to £1 million every five minutes, according to data released by the Credit Action charity.