Post new topic Reply to topic  [ 1 post ] 
  Print view

Households struggle with finances - Bank of England
Author Message
PostPosted: Mon Dec 13, 2010 7:42 pm 

Joined: Tue Mar 10, 2009 1:21 pm
Posts: 1457
Location: Hampshire
Households across the UK are still finding it difficult to survive financially, according to a new survey, while many people over 55 are particularly struggling.

More than half of those questioned had trouble meeting repayments for credit card or other unsecured debts, the yearly poll of almost 2,000 homes for the Bank of England revealed.

Some 22% admitted they were delaying spending due to concern that it was becoming more difficult to borrow - up from 17% a year ago.

The poll also discovered that 90% of respondents think they will be heavily affected by government austerity. But fewer than half had taken any steps to prepare for the budget cuts, such as working longer hours, increasing savings, or hunting for a new job.

Over 55s hit particularly hard
The news comes on the back of Age UK research into Silver RPI in November, which revealed that inflation was hitting over 55s in the pocket considerably harder than had been predicted.

Gordon Morris, managing director of Age UK Enterprises, said: 'The impact of inflation on over 55s has been substantially underestimated and it worsens as you age, with over 75s experiencing cost rises on average 4% above official measures.

'For a typical over 60 year old, it means they are on average more than £620 a year worse off than previously thought.'

This echoes the findings of the Bank of England survey, in which almost half of households expressed fears about their level of debt - with a majority saying they had become more concerned over the last two years.

Borrowing was also said to be getting more difficult, especially for those with big mortgages, 50% of whom said credit availability had worsened.


Display posts from previous:  Sort by  
Post new topic Reply to topic  [ 1 post ] 

You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot post attachments in this forum

Search for:
Jump to: