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    People are finding that their levels of personal debt are restricting the amount they are able to save, new research shows.

    Findings from Scottish Widows showed that 42 per cent of people see debt as a barrier to their ability to save, while 31 per cent said high tax rates are dissuading them from putting money away.

    "While paying off debts should still be a priority, in climates like these, it is important to save even a small amount now to get into a saving habit and build up some capital," said Anne Young, savings expert at Scottish Widows.

    She added that reducing debts had become more of a priority for people at the moment, urging consumers to review their debts on a regular basis to determine what they need to do to minimise them.

    According to a report by the CBI the UK recession deepened more than expected in the first three months of this year.

    It also claimed that the recovery will be slow and fragile, with gross domestic product growth resuming only in the spring of 2010.

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