Further to my last post, I have checked the Credit Action website for the latest UK debt statistics.
See below: -
At the end of March 2006 the total UK personal debt was £1,182bn. The growth rate remains strong at 10.2% for the previous 12 months which equates to an increase of £100bn.
Total secured lending on homes in March 2006 was £990.8bn. This has increased 10.8% in the last 12 months.
Total consumer credit lending to individuals in March 2006 was £191.4bn. This has increased 7.5% in the last 12 months.
Total lending in March 2006 grew by £9.6bn. Secured lending grew by £9.3bn in the month which was well above both the increase in February and the previous six month average. Consumer credit lending grew by £0.3bn in the month which was much lower than in February.
Average household debt in the UK is approximately £7,751 (excluding mortgages) and £47,866 including mortgages.
Average owed by every UK adult is approximately £25,364 (including mortgages). This grew by ~ £200 last month.
Average consumer borrowing via credit cards, motor and retail finance deals, overdrafts and unsecured personal loans has risen to £4,107 per average UK adult at the end of March 2006. This has grown 52% in 5 years.
Britain’s personal debt is increasing by ~ £1 million every four minutes.
Two words: Relentless and unsustainable.
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Thank you, GE Capital !
“They” are building a world of debtors I am afraid. Loans increasing is not a way to make a country’s people develop regularly.
An interesting suggestion that should be further developed.
I further suggest that the banks lengthening the span of their loans has made for the builders to increase the prices of homes. Both “they” have won a lot with this new system. But buyers find themselves in a lifetime of debt. The purchase of homes is no longer the investment it was years ago. Someone buying a house compared the monthly instalment with a rent, and it usually was more interesting than paying the rent. Now it is no longer an investment because the length of the period of the debt is frequently converted into a negative inheritance for the children.