Pets are sold ‘just to make ends meet’

Some 1.54 million borrowers sought help in 2011, compared with 1.4 million the previous year, a study by the Money Advice Trust has shown.

Figures also reveal that around 10 million individuals in the UK find themselves in a constant struggle to manage their debts.

The survey, which was carried out by the University of Nottingham for the charity, is an update on previous work forecasting demand for debt advice in the UK.

The research predicts a sharp rise in the demand for debt advice in the first half of this year, mostly due to growing unemployment and modest wage growth.

Joanna Elson OBE, chief executive of the Money Advice Trust, said: “2011 was a tough financial year for many families across the UK; unfortunately more people are likely to struggle in 2012.

“With unemployment rising and wage growth relatively flat, while prices are going up, it’s going to take a greater proportion of household income to heat your home, put food on your table and petrol in your car.

“Our research shows people are going to extreme lengths to get on top of their finances, with some selling treasured items, such as jewellery, cars and even pets, just to make ends meet.”