Future looks bleaker, say consumers

NEARLY a third of people fear their financial situation will worsen over the next six months, according to new research.

A survey by R3, the insolvency trade body, said that 30 per cent of people took such a view, up by seven per cent on the last quarter. The number of people who believe that their financial situation will improve has dropped from 35 per cent to just 22 per cent.

Andrew Walker, chair of R3 in Yorkshire and partner at Irwin Mitchell, said it was "unsurprising" that fewer people are feeling optimistic because the previous survey was carried out before the Spending Review.

"With personal debt hitting record highs and job cuts looming, many people will be feeling vulnerable."

The number of people worried about their level of debt has remained steady, with one in four (39 per cent) across the country expressing concern, close to the Yorkshire level (40 per cent). Credit card debts were the main cause of concern.