The number of young people out of work has broken the one million barrier , which one expert has said is likely to lead to a rise in the level of debt…
The number of young people out of work has broken the one million barrier , which one expert has said is likely to lead to a rise in the level of debt owed by 18 to 24-year-olds.
Consumer Credit Counselling Service (CCCS) director of external affairs Delroy Corinaldi warned that this group is more prone to finding itself borrowing money it struggles to pay back than older people, with this problem having a clear link to unemployment issues.
He said: "With youth unemployment rising, an increasing number of under-25s are struggling to make ends meet. I am concerned that many young people who are out of work will fall into debt in the coming months."
CCCS data has indicated 35 per cent of those aged under 25 who sought debt help from the organisation in the first six months of this year cited being out of work as a key reason for being in debt trouble.
This contrasts with those aged 25 and over, with only 23 per cent attributing their problems to this cause.
Earlier this month, the CCCS produced a report suggesting 186,000 young people are in the 'financially vulnerable' position of being in difficulty now or at risk of being so in the near future.
The CCCS has raised the issue after the Office for National Statistics revealed the level of youth unemployment rose by 67,000 to 1.02 million in the three months to September.
According to the body, this is the highest figure recorded since comparable data was first collected in 1992, although it noted studies of older information suggest the tally may have been higher in the mid-1980s.
By Joe White