Debt 'making saving difficult'

Date:Tuesday 4th May 2010
Author: Max Freedman

People are finding it increasingly difficult to save money because they are burdened by crippling debt, one expert has suggested.

UK Insolvency Helpline debt advice service chief executive Richard Sorsky believes wages are not increasing in line with the cost of consumer goods and has expressed concern at the rising price of fuel, mobile phone bills and utilities.

He observed that workers who earn commission may be better placed to withstand inflation, adding: "Living costs are rising yet most people we speak to have not had a raise in five years. That is the problem."

Mr Sorsky also commented that his organisation has received a greater number of referrals from doctors, with a rising number of Britons suffering physically as a result of the stress brought on by debt.

Last week, the Consumer Credit Counselling Service revealed it had seen a "sharp rise" in the number of calls it took in the first quarter of this year. The charity received 335,323 requests for assistance in 2009.