Lincoln has been listed in the top 10 cities for residents living with the highest levels of unsecured debt in the country.
Research from free debt advice provider PayPlan shows a snapshot of 10 UK cities based on the average remaining balance of a PayPlan client’s debt management plan (DMP).
The figures are based on clients who are in a DMP and they calculate the average amount currently owned by clients, spilt by region.
London and Reading are the top two in the list with £22,688 and £21,580 respectively, while Lincoln is placed in seventh with clients reporting an average personal debt of £19,269 each.
The research indicates that rising costs of living, accompanied by stagnant salary growth are the main reasons for pushing more and more people into the red, with increasing amounts of people relying on unsecured debt to pay for the daily essentials.
It shows the worrying levels of debt experienced by many people accused through various means of borrowing including credit card bills, personal loans and store cards.
Money adviser at PayPlan Jane Clack said: “People who feel the financial pinch often tell us that they are subsidising their salaries with other forms of credit, such as credit cards and short term loans, to help pay for food and other essentials.
“Too often these types of credit bring with them high borrowing costs. Our figures highlight the challenges faced by people across Lincoln, associated with the rising costs of living across the UK – and not just in those areas that are traditionally seen as ‘deprived’.
“Debt does not discriminate. We help thousands of clients every year, and each one has their own unique story for how they got into debt.”
The top 10
- London – £22,688
- Reading – £21,580
- Brighton – £21,567
- Oxford – £19,730
- Norwich – £19,685
- Leicester – £19,364
- Lincoln – £19,269
- Birmingham – £18,730
- Edinburgh – £18,654
- Bristol – £18,488