the Business Forum and
the Economic Partnership
in Brighton & Hove
Homepage    BCRP Intranet    Funding    Events    Knowledgebase    Links    About us     Contact us
Key projects
Crime
reduction
 


Inward
investment
information
 


Licensee
Forum
 

Workforce development 

Transport
 

Business &
climate
change

Property &
Development sites

Business
Improvement
Districts

Housing
 

Strategy
 

Consultation opportunities
 

Brighton & Hove Business Forum
8-11 Pavilion Buildings, Brighton, BN1 1EE
Tel: 01273 735442
Email: info@brighton
business.co.uk

© Brighton & Hove
Business Forum

News - 19 May 2007
'Ah that feels better!'

A nation in debt

What is happening to the people of this country? It seems that scare stories about rising bankruptcies and Individual Voluntary Arrangements (IVAs) have had little effect in curbing spending.

A new report from Experian exposes some of the triggers that lead people to indulge themselves in retail overspend.

According to Experian’s research more than 80% of Britons admit to regularly overspending and millions are driven to consider last resort measures such as bankruptcy.

Financial mistakes, like taking out expensive consolidation loans with long payback periods and irrational ‘therapy spending’ caused by stress, arguments with partners or simply feeling low, are some of the main contributors to a large number of Britons regularly overspending. This highlights again the need for practical education and advice.

The research also reveals that:

  • One in 20 (5%) have considered or taken out an IVA or declared themselves bankrupt
  • Almost one in 10 (9%) have taken out a credit card to pay off debt on another credit card
  • One in 10 (10%) have missed payments on credit cards, store cards, loan or mortgage repayments
  • Confusion and lack of accountability lead to financial ‘moments of madness’

Almost a quarter (24%) of Brits admit to finding it hard to control their spending and claim financial matters are hard to understand, suggesting that the consequences of ‘moments of financial madness’ are not hitting home. With the CreditExpert research revealing that Britons continue to commit financial mistakes in huge numbers, from using one credit card to pay off another to taking out high interest consolidation loans, it seems consumers are getting more involved in credit with little understanding of how credit agreements work or the potential risks they are taking.

Mistakes such as missed payments on credit agreements can lead to unexpected charges and poor credit ratings, while ‘quick fix’ solutions like taking out an IVA will affect your credit report for at least six years.

Lack of understanding of the implications of overspending and financial mistakes is not the only reason for Britons’ lack of financial control. Emotional triggers and modern lifestyle pressures seem to be leading people to overspend and make rash financial judgements despite more than four in 10 (43%) of the population feeling that one should have control of all aspects of your finances, whether they be large or small:

  • Over a quarter (26%) of the population overspend to cheer themselves up when they are feeling low
  • Almost one in six (14%) overspend by treating themselves after a stressful day at work
  • One in 20 (5%) overspend after an argument with their partner
  • A quarter (25%) overspend by indulging in a passion or hobby

Experian is organising a Credit Awareness Week in conjunction with Credit Today magazine and other partners such as The British Bankers Association and the Consumer Credit Counseling Service.

The week aims to help the British public gain better control of their financial affairs. People wanting direct, easy-to-understand and manageable advice on getting their finances in check should visit www.creditawarenessweek.co.uk.


Read related items on:
Retail, pubs, clubs and restaurants
Insolvency
Experian


Browse our business Knowledgebase or search by keyword


Headlines

23 May 2018
Gingerman Restaurant Group to Open Restaurant at Hanningtons Estate Brighton
16 May 2018
Can you help us help rough sleepers? Search for a venue to provide shelter 15 May 2018
New Research Reveals Cost of Opening A Business in Brighton: £6,000 11 May 2018
Tech firm SaleCycle to open new office in Brighton, creating 30+ new jobs 4 May 2018
Get involved - National Numeracy Day This 16 May 1 May 2018
BUSINESS IMPROVEMENT DISTRICT INDUSTRY CELEBRATES 300 BIDS 1 May 2018
Barclays' High Growth & Entrepreneurs Awards 2018 launch to celebrate start-up leaders in the UK 30 April 2018
Barclays launches major drive to help SMEs tackle Cymbercrime 24 April 2018
An evening with Chris Fox, Lib Dem Peer 24 April 2018
"A triumph of innovation" 13 April 2018
Brighton city Centre Vacancy Rates continue to buck national trend 12 April 2018
The Ivy in the Lanes Set to open 2 May 2018 11 April 2018
Free Dr Bike Service Returns 20 March 2018
Brighton named most entrepreneurial city AND second best for student happiness according to Fresh Student Living 19 March 2018
A Meeting with Chris Fox, Lib Dem Peer - Why Business Matters 14 March 2018
Better Business for All Event with BEIS 7 March 2018
Brighton celebrates women in tech as Spring Forward festival returns for a fourth year 6 March 2018
Six months of success for BTN BikeShare 2 March 2018
Sustainability in Action masterclasses for Sussex businesses 2 March 2018
Doing Business in China comes to Brighton 1 March 2018
Brighton & Hove Chamber of Commerce presents: Protecting your brand- a guide for fast growth businesses 1 March 2018
Long haul passengers boost local economy and jobs, according to new Gatwick report on the 'Visitor Economy' 28 February 2018
Save time reporting crime 27 February 2018
Warren Morgan Resigns from Brighton & Hove City Council 23 February 2018
Brighton Technology Company, Paxton Ranks in Sunday Times 100 Best Companies to Work For 23 February 2018
Greater Brighton's Commercial Property Database 22 February 2018
SE-ASSIST - Launch of Loan Capital in Greater Brighton 19 February 2018
House Price update Q4 2017 19 February 2018
What would you do in a crisis? 19 February 2018
The investment journey for high growth entrepreneurs 9 February 2018
Make Change Count 2018 - helping rough sleepers in Brighton & Hove 8 February 2018
Brighton Technology Company Paxton Announces Recipients of New Scholarship Programmein Association with the University of Brighton 8 February 2018
Cyber London Accelerator Invites Summer 2018 Entries 8 February 2018
Innovate UK Launches Strand 2 Emerging and Enabling Technologies Sector Competition 8 February 2018
Success In Sussex As Food And Drink Heroes Crowned Winners 8 February 2018
UK Games Fund - Fourth Round Open to Applications 8 February 2018
Innovate UK & Prince's Trust Launch Young Innovators' Programme 6 February 2018
Brighton & Hove Food Partnership launches 'Kit Out The Kitchen' crowdfunding campaign 2 February 2018
Brighton & Hove Council and Crest Nicholson win £15m government funding to kickstart King Alfred project 1 February 2018
Could a Utilise Plus Programme grant help you?