According to the Consumer Credit Counselling Service (CCCS), the group expects to deal with a greater demand as more people begin to lose their jobs.
It stated that as workers are made redundant, this “significantly deepens personal debt problems”.
Recent findings from the Chartered Institute of Personnel Development could exacerbate this problem, as it predicted that the number of employees who are made redundant is set to increase this year once the public sector cuts get underway.
The group revealed that in 2010, unemployed clients were in debt by £2,436, which they need to cover their daily costs.
CCCS’ external affairs director Delroy Corinaldi said many people have “no alternative but to take on debts” if they are unemployed, as they try to maintain “basic” living standards.
“Anyone who has lost their job and is worried about making ends meet should seek help as soon as possible,” Mr Corinaldi stated, saying this will help them avoid being “tipped into the black hole of debt”.
Posted by Ross George
