20 per cent of Britons face Christmas debt
One fifth of Britons are expecting to be pushed into debt this Christmas, according to figures from Moneysupermarket.
Ten million Britons are anticipating falling into the red this Christmas as a result of high inflation and increasingly pressured budgets.
The Consumer Price Index (CPI) has decreased 0.2 per cent – down to 4.8 per cent in November from 5 per cent in October. Whilst the decrease will be welcomed by the public, it is still well above the Government’s target inflation rate of 2 per cent.
Kevin Mountford, from MoneySupermarket, said: “It is no surprise that a high number of people will be tipped into debt this festive season, and consumers really need to take immediate steps to manage debt, especially in the current economic climate.
“Sitting down and going through your finances and reviewing all your outgoings can really make a difference. Switching to cheaper products or moving expensive debts over to cheaper forms of borrowing can help free up cash, which is vital at a time when the cost of living has been putting the nation’s wallets under severe pressure.
“For savers, the low number of products which currently offer a return above inflation means keeping a closer eye on their interest rates. Even if savers can’t beat inflation, the difference between the average and top paying rates is considerable, so switching to a better deal can help to limit the impact on their savings pots.”