30/12/2008 - Firms contacting debtline soars
The number of companies seeking confidential advice on debt has doubled in the past year, figures show.
Business Debtline, which is funded by the Government, received twice as many calls during the autumn this year as it did during the same period of 2007 from companies seeking help on how to cope during the credit crunch.
The group's consumer service National Debtline has also experienced an increase with 23,000 calls from people with debt problems during November alone, up from 16,000 during the same month of 2007.
The number of people who had fallen behind with mortgage arrears and repayments on loans has also jumped 30%. The helpline has now provided assistance for more than 90,000 people during 2008, including 8,000 people who were in mortgage arrears.
Government funded face-to-face debt services have also helped 100,000 people during the past year.
Due to the increased demand the group is now recruiting additional advisers, managers and support staff for both consumer and business services.
It is expected the situation will only get worse as more people lose their jobs and the cost of living remains high, despite a fall in inflation.
Copyright © Press Association 2008
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