Risky credit card debt will skyrocket due to cost of living crisis

Risky credit card debt is set to skyrocket as the cost of living crisis puts more pressure on Britons.

A report has found that credit card loans are set to rise by £9bn by September, bringing the total UK bill to £68.9bn.

Risk: Rising household bills and runaway inflation forced UK consumers to spend £1.5bn more on credit cards in February than a year earlier.

Rising household bills and runaway inflation forced UK consumers to spend £1.5bn more on credit cards in February than a year earlier, according to the Bank of England.

Neil Kadagathur, chief executive of lender Creditspring, which commissioned the study, said: “Credit cards will provide a lifeline for borrowers for months to come.

“However, with millions relying on loans to survive, credit cards with long payment terms and a high risk of debt spirals are a high-risk option that could lead to increased debt for many households.” .

With UK inflation at a 30-year high of 7 percent, one in six adults said they would need to borrow to get by over the next six months.