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More than 4 million fear they`ll be made redundant Consumers took on more mortgage debt in July Debts called in by parents Teenagers `scared of debt` Rising household costs could pressure people in debt Pensions debt may impact workers` retirement funds Welsh young adults `at highest risk of debt problems` Over 50s can`t afford to enjoy retirement because of debts Budget: tackling the nation`s debt Short-term debt: `no need for price control` The cost of clearing debt Education debt Tackling the national debt Number of mortgage deals on offer exceeds 3,000 Almost 5 million take on debt to pay household bills OECD: household debt more than 120% of disposable income Petrol price falls help people in debt Amount of mortgage debt taken on at lowest level in ten years Northern Ireland sees significant IVA rise Overdraft debt `becoming more expensive`

Recession ‘to be confirmed’ on Friday

21/01/2009

This Friday, when the Office for National Statistics (ONS) publishes its figures for the final three months of 2008, they’re expected to confirm that the UK is officially in recession.

A recession is usually defined as two consecutive quarters of ‘negative growth’ in GDP (Gross Domestic Product – a measure of economic health). After the third quarter of 2008 saw GDP fall by 0.6%, the fourth-quarter figures are very important – and the ONS is ‘expected to reveal a sharp contraction in GDP’, The Telegraph reports.

“The recession is already baked in,” said Professor Peter Spencer, chief economic advisor to the Ernst & Young ITEM (Independent Treasury Economic Model) Club. “The question is whether we go from here into a decade of deflation – if they make more mistakes that is pretty much on the cards – or some pretty horrific numbers this year and some positives later on.”

“A shrinking economy is clearly bad news,” said a debt expert for Debt Advisers Direct. “When businesses struggle, so do their employees. Whether they’re facing paycuts or actual redundancy, any reduction in income can seriously complicate a household’s financial situation.

“This can be especially true for people in debt, as borrowers need to keep on top of their debt repayments as well as paying their bills. As always, we advise anyone anticipating debt problems to seek expert debt advice without delay.”

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Debt Advisers Direct offer free debt advice and a range of debt solutions, including debt management plans, debt consolidation loans and IVAs (Individual Voluntary Arrangements).

More than 4 million fear they`ll be made redundant 16/12/2010 - According to R3`s quarterly personal debt tracker, more than 4 Consumers took on more mortgage debt in July 26/08/2010 - Consumers took on £2bn more mortgage debt than they repaid Debts called in by parents 26/08/2010 - According to research, `the bank of Mum and Dad` is Teenagers `scared of debt` 19/08/2010 - Nearly two thirds of teenagers are `scared` of debt, according