Title:
Firstname:
Surname:
Help Phone:
Email:
Help Total Unsecured Debt (£)
Help No. of Creditors
Help Monthly Disposable Income
How did you hear about us?
Apply for a Debt Management Plan
Bookmark this page

Thousands may need debt advice as government is reclaiming £1.85bn

Thousands may need debt advice as government is reclaiming £1.85bn

- Wednesday, 17 March 2010

Thousands of people on benefits who have been overpaid by the government could be left needing debt management advice as officials try to claw the money back.

The Commons spending committee said that low income families were being forced into debt to repay the money.

1.6 million people have been overpaid, with 30,000 owing more than £10,000 and about 8,600 people owing more than £20,000.

Edward Leigh, the Tory MP who headed up the committee, said that policy needed to change if indebtedness was to be reduced.

"If the department is to deal with this rising trend in benefit debt, then it has to improve the way it approaches the prevention of debt," he said, adding that "the current economic malaise is only likely to make worse the rate at which debt can be recovered."

The Guardian has suggested that MPs could sell off part or all of this debt to the private sector, though committee members have recommended that any such action should safeguard those indebted through no fault of their own.

Whether the government sells the debt on or not, thousands of people, many among the poorest in the country, have been left in need of debt management advice.ADNFCR-2300-ID-19673783-ADNFCR
Latest Debt Management Plan NewsDebt Management Plan News ArchiveContact us to discuss Debt Management PlansEmail this article to a friendSubscribe to our RSS Feed

Recent Debt Management Plan News

Find an online plan to make savings on energy bills

Tue, 07 Sep 2010

People living with debt problems should consider searching online for the best energy deals in order to save money...

Those on unemployment benefits most likely to have debt problems

Mon, 06 Sep 2010
Large numbers of consumers claiming jobseeker's allowance (JSA) are living with debt problems, amounting to thousands of pounds...

Sending children 'back to school' costs £1.2 billion

Fri, 03 Sep 2010
Consumers living with debt problems could find it difficult to find the cash to send their kids back to school next week...

Book a last minute deal to avoid holiday debt problems

Thu, 02 Sep 2010
More holidaymakers are deciding to book their vacations at the last minute in order to save money and avoid getting into debt problems...