Loans to pay debt up 4%

People’s confidence has tumbled since the shambolic general election result which left us with a hung parliament, research has found.

An index used by the website Moneysupermarket has fallen three points since the end of May, 16 points year on year and is at its second lowest point since late 2013.

Moneysupermarket said it had seen a 4% rise in people looking for loans to pay off debt, and 7% fewer wanting to borrow money for home improvements.

Kevin Pratt, consumer affairs expert at website, said: “Nothing erodes confidence more than uncertainty, and we live in uncertain times.”