Scotland’s debt in detail shows almost a quarter owe more than five years ago

A Citizen’s Advice study offers a snapshot of a growing problem for struggling families

More than a quarter of Scots have more debt compared to five years ago, while 14 per cent said they had the same amount. The findings come in a Citizens Advice Scotland (CAS) study which this week revealed more than half of Scots have run out of money before payday.

Looking at the findings of the study in detail, a higher proportion (33 per cent) said they had less debt than five years ago while almost one-quarter reported having never been in debt in the previous five years.

A higher proportion of female respondents (31 per cent) than male respondents (25 per cent) reported being in more debt, while those below the age of 35 (45 per cent) were far more likely than the other age groups to have more debt.

The CAS said those living in private rented accommodation were more likely to have more debt than five years ago (40 per cent) than either council tenants (32 per cent) or homeowners (25 per cent).

Of those who reported being in more debt than, the most common reason was an increase in bills (43 per cent), while just over one-third (37 per cent) said the reason was employment related.

Almost one-quarter said their increased debt was due to poor financial management in general while 14 per cent said it was as a result of a reduction in/loss off benefits or tax credits.

CAS policy manager Keith Dryburgh said: “While many of these people would not regard this as a crisis situation, our research also finds that many people are vulnerable to financial shocks, like being unable to pay a sudden bill without getting into debt or using savings.

“More than half of Scots are not familiar with their rights as debt consumers.

“Given that debt is so pervasive in Scotland, we are keen to make sure that people know their rights in relation to debt and also know what options they have if they want to manage their finances better.

“We have information and tools on our website that will help anyone do this – www.cas.org.uk.”

The research was done by Ipsos Mori for Citizens Advice Scotland, with the fieldwork carried out in March.

0 Increasing bills have added to debt