According to some industry experts many public sector workers could face rising levels of personal debt as a result of the many cutbacks that have been made by the coalition government. Having outlined the cutbacks in his emergency budge earlier this year the Chancellor of the Exchequer, George Osborne, was more specific about his cutbacks in his Spending Review in October, and there are fears that there could be around half a million job losses in the public sector.

The Consumer Credit Counselling Service has said that more and more people will have to face up to personal debt issues, and since the government cutbacks will also have a knock on effect on the private sector there will be many people that will struggle with their debts due to job losses and cuts in their hours.

Many people are already struggling when it comes to managing their debts because of the problems caused by the recession and the global financial crisis. With the cutbacks that many people now face at their places of work the problem could become even worse, and a rising number of people will be considering insolvency, debt management plans, and other solutions to enable them to deal with their debts.

The Consumer Credit Counselling Service has said that anyone that is concerned about repayment of their debts is advised to contact them or a similar debt charity so that a solution can be reached with regards to how the debt issues can be handled.

One official from the service stated: “I would urge anyone struggling to repay their debts to seek help from a charity such as CCCS or Citizens Advice who can provide free advice and support.”