South-west laments ‘debt crisis’

The south-west of England has been hit particularly hard by the rising crisis of debt management in the UK, it has been suggested.

Figures from credit reference firm Experian have shown that there are some 40,000 families in Bristol that are in danger of losing their home as a result of debt-related problems.

With everyday living costs rising sharply in recent months and renewed mortgage deals taking a greater share of monthly incomes, debt woes have been worsening across the region.

“Some of the worst affected by the squeeze are families tempted into taking on mortgages at 120 per cent of the price of their home or at five times their salaries,” local Conservative Chris Skidmore told the Bristol Evening Post.

A recent report from Moneysupermarket.com suggested that more and more British consumers are using credit card debt as what the price comparison firm called “pseudo loans”.