Given the state of the economy, this is not time to relax, indebted UK consumers have been warned.
According to a report from GE Money, an increasing number of people are adjusting their spending habits in the wake of the credit crunch and many are making concerted efforts to become debt free.
Research by the company found that almost a quarter of adults in the UK feel that they do not have complete control of their finances and 40 per cent admit that they have no cash left at the end of each month.
“As we approach summer we are urging people to take an active interest in sorting out their finances,” a spokesperson for GE money said.
“With the cost of living increasing this is no time to relax; it is important that people take stock and ensure they know exactly what they owe and when.”
Meanwhile, Darren Cook, a spokesperson for Moneyfacts.co.uk, said recently that British consumers can not expect a return to the days of cheap credit within the next few years.
Written by Giles Stevenson