Young Brits are planning for their future and considering debt management, it is suggested.

They know that saving is important and plan for future purchases, states Maxine Norris, head of Natwest MoneySense for Schools.

Young people are not deaf to all the talk about the recession and the credit crunch and are becoming more realistic in their aspirations for the future, she explains.

"We also see quite a lot of children who are putting money away for college and higher education, which is always reassuring as it means they are even more forward thinking than the others," Ms Norris continues.

According to research by the body, 86 per cent of youngsters keep track of their money, up from 79 per cent last year.

More than two-thirds also say they know more about debt management than they did 12 months ago, which could be due to media reports and parents being more open about finances.

The recession has altered views towards money and debt management, new figures reveal.

Findings from the Charities Aid Foundation show that more than two-fifths of Brits say money is more important to them now than before the economic downturn.

As well as this, more than three-quarters are thinking more about how they spend and changing their habits, with many going out less often, shopping in less expensive shops or not going on holiday.

The recession has also changed views towards helping others, with a third saying they are now more likely to help others in need, suggesting that debt management is not only about considering their own financial situation.

Last week, the Building Societies Association urged savers to consider more than just the headline interest rates when looking for somewhere to put their money.

It suggested consumers look for long-term competitive deals to avoid the need to switch saving accounts in the future.

Britons do not have as strong savings habits as they should despite positive research figures, one building society warns.

Research by National Savings & Investments shows that regular savers are more committed to putting money aside during the recession, but Nationwide claims that the gap between savers and non-savers is getting wider.

It says there is a long way to go before Brits will be saving enough, with its survey suggesting nearly two-thirds admit to saving less than they need.

Just under a quarter say they save enough, suggesting that better debt management is needed by the majority of Brits.

The figures also warn that the savings situation for many could get worse, with nearly a quarter expecting to be saving less in six months’ time than they do now.

Nationwide director for savings and mortgages Andy McQueen comments: "There seems to be a divide between those that have saved, continue to save and increase the amount they save and those that have not saved, do not save and have no means to save."

Growing numbers of private tenants are facing homelessness as landlords struggle to keep up with mortgage payments and face repossession, four UK bodies are warning.

Shelter, Citizens Advice, Crisis and the Chartered Institute of Housing are calling for a change in the law to allow repossessions of buy-to-let properties to be deferred so tenants have more time to find another home.

Debt management advice and plans could also help improve the situation, giving landlords the chance to manage their finances and hold on to their property investments.

"With more and more landlords struggling with mortgage arrears and tenants facing repossession, the government must allow the courts to defer possession dates so that tenants can find other suitable accommodation," comments Shelter chief executive Adam Sampson.

Consumer body Which? has also recently warned that many Brits live in fear of repossession as unemployment concerns grow.

Its survey shows that 62 per cent of people are worried about losing their jobs, with four in ten saying they may not be able to keep up with their mortgage payments if they were made redundant.

Older consumers who have dealt with a recession in the past will be better-placed to weather the current economic storm, with many already putting debt management plans in to action to help them cope.

More than a third of ‘recession veterans’ are becoming more frugal with their money, compared to just a fifth of ‘recession novices’, says Lloyds TSB.

One in four British adults are facing their first ever recession, amounting to some 13.5 million people who may need debt management advice as their cash flow is squeezed.

The recession veterans feel better prepared for economic difficulties because they have lived through a recession before, with many saying their confidence comes down to their debt management experience.

"Recession novices will be feeling the greatest shock and worrying about how to maintain their lifestyles while paying off debts, while those that have lived through it before will probably cope better, reverting to old methods of survival," comments psychologist Corinne Sweet.

The credit crunch has already led to an increase in people turning to debt advice firms and taking out Individual Voluntary Arrangements, OK! magazine reported this week.

It said the recession is encouraging people to think more about debt management and act to reduce their outgoings.

People are likely to find themselves in greater debt, which could be made worse if house prices collapse, it is claimed.

According to Paul Holmes, chief operating officer of FirstRung, the success of the property market is generally a barometer for how the rest of the economy is faring.

"It doesn’t turn around in a month; this market turned in about August 2008 when it started to get very nasty and it is going to continue that way for a long time," he continues.

Mr Holmes reiterates the fact that some people have very big mortgages, with those possessing a £400,000 house with a £250,000 mortgage not likely to take too kindly to being told their property is only worth £200,000.

The Department of Communities and Local Government reported in March 2009 that house prices were 11.5 per cent lower in January 2009 than in January 2008.

Further figures show house prices fell by 3.9 per cent in the quarter ending January 2009, compared to a 5.2 per cent decrease in the quarter ending October 2008.

Debt advice companies have witnessed a surge in people looking for their assistance since the credit crunch began, it is claimed.

With more restricted access to credt, OK! Magazine emphasises the impact of the recession on what it calls the "Joe public", saying many have turned to debt management firms for advice.

It believes that this has led people have had to start thinking about other solutions to get them out of their debt difficulties, which may include debt management plans or an Individual Voluntary Arrangement (IVA)."

People are spending less as they do not have as much disposable cash available, the magazine reveals, with companies suffering as a result.

Unemployment is likewise on the increase, with official figures showing in recent days it now stands at 6.5 per cent.

The rate of employment for people of working age – in the three months leading up to January 2009 – stood at 74.1 per cent.

With fewer loans available to save them, the magazine believes people are continuing to struggle in the credit crunch.

The latest retail prices index (RPI) is bad news for those in debt, experts reveal.

According to James Salmon and Sylvia Morris, speaking to the Daily Mail, it may prove a good thing for savers, but those who struggle financially already are unlikely to reap the benefits.

Professor Peter Spencer, from Ernst & Young, reveals to the experts: "’If prices are falling by two per cent, you are making real growth in the value of your spending power even if you earn no interest.

"Under these circumstances, you can spend two per cent of your capital and keep the purchasing power of your savings."

In light of this, however, the financial experts suggest the real value of people’s debts is likely to soar, which is hindered by the fact many people are unlikely to experience a pay rise to help pay it off.

Earlier this week, the Alliance Trust suggested that elderly people are most likely to suffer from inflation as they experience rises in the cost of food.

It added that reductions in the cost of electricity and gas are unlikely to help older generations as much as the young.

Many people in the UK will have worked the first 83 days of this year just to clear the interest on their debts, it is suggested.

This indicated that the majority of people have not even yet started to clear the debt itself, claims unbiased.co.uk, despite the country’s debt crisis continuing to spiral.

It suggests that personal loan levels in the UK increased to £11.4 billion last year, with mortgage debt from equity release loans also escalating.

"Tackling your debt can be a daunting task, but you don’t have to do it on your own," says David Elms, chief executive of the website.

He adds that seeking debt management advice is the "first step" towards taking control of finances and avoiding further problems.

Statistics from Credit Action show total UK personal debt at the end of January 2009 stood at £1,457 billion, which has slowed further to 3.1 per cent in the last 12 months, equating to an increase of around £42 billion.

It also reveals total consumer credit lending to individuals at the end of January 2009 was £233 billion.

Britons who fail to plan for the financial futures of their loved ones are walking a "financial tightrope", it is believed.

According to Skipton Financial Services, those who are anticipating the Tories may scrap inheritance tax are opening themselves to long-term financial difficulties.

"Even if the Conservatives are voted into power, the state of the country’s finances at present makes it by no means certain that they could afford to implement it, even if they still wanted to," comments Andrew Barker, chief operating officer at Skipton Financial Services.

He adds that adopting a "wait and see approach" could prove to be costly, advising people to address their future finances before it is too late.

People who assume they know what will happen in the future are at most risk, the organisation believes, which could lead people to consider debt management guidance.

More than a year after the introduction of the inheritance tax transferable nil rate band, nearly three out of five people are still unaware of the new rules and the tax implications, according to research from Standard Life.