Brits take increased credit in February

British consumers are continuing to rely on credit, according to new figures from the Finance & Leasing Association.

The statistics s…

British consumers are continuing to rely on credit, according to new figures from the Finance & Leasing Association.

The statistics show that total consumer credit increased by seven per cent in February compared to the corresponding figures from 2011 – a rise which is the largest in more than a year.

Consumers borrowed £2.5 billion on credit cards and personal loans during the month, which relates to a four per cent year on year rise.

"These figures show that some consumers are taking advantage of the affordable credit options available to them, but they are still wary given the continued economic uncertainty," said Fiona Hoyle, head of consumer finance at the group.

With this increase in lending and tough financial conditions in the UK, it is easy to see how credit card debt can occur, with a recent survey from Halifax finding that 14 per cent of consumers still have Christmas purchases on their balance.

By Amy White

Tell others:

shortlink