Young Brits ‘ready to take on debt’

Young British consumers are ready to take on debts in order to gain the kind of lifestyle they aspire to, according a new report.

A study by Engage Mutual Assurance has shown that most under-25s in the UK expect to have acquired their own home by the age of 28, which the company has interpreted as a signal of their ease with debt management.

Furthermore, the financial services firm has claimed that the number of parents aged under 25 who have borrowed money from their mothers and fathers to pay for childcare has doubled since January last year.

Karl Elliott, 3GB spokesperson for Engage Mutual Assurance, commented: “Over the course of 2007, we’ve seen family relationships strained by money matters.

“Rising costs in Britain mean that not only do families need to plan ahead financially and carefully manage their money, they are also turning to each other for support.”

Meanwhile, Abbey reported recently that the majority of unsecured loans that UK consumers keep secret from their families are used in an effort to clear debt.