Figures from Alliance & Leicester reveal that what are termed the “Friends generation” account for the largest amounts of borrowing and spend the most on interest repayments as they aim to become debt free.
In addition, this sector of British society has become the most likely group to miss repayments on their various credit arrangements and to return the minimum allowed on credit card debt repayments.
“The picture for the under 30s is dominated by student loans,” said Chris Rhodes, director of retail banking at Alliance & Leicester.
“A hangover of student debt is constraining their appetite for other borrowing and delaying their ability to get on the housing ladder.”
Earlier this week, economic spokeperson for the Liberal Democrats Vince Cable MP suggested that the UK’s debt management problems look set to get worse.