Almost five million Britons spend more than they earn, with 5.7 million using debt to fund expensive lifestyles, a new report has warned.
Research conducted by price comparison website uSwitch.com has revealed nine million people in this country only just manage to break even at the end of each month.
Ann Robinson, director of consumer policy at uSwitch.com, claimed Britons are suffering from "affluenza", causing them to become debt-ridden in their pursuit of lavish, celebrity-inspired lifestyles.
"Short-term debt solutions may seem an efficient way to fund spending but they can also lead to long-term debt if not managed properly," she warned.
For those borrowers who would like to become debt-free but are struggling to manage their debt, let alone repay it, one possible option is an individual voluntary arrangement (IVA).
These were created by the government to provide an alternative to bankruptcy and allow the person to become debt-free within a set period, often five years.
IVAs ensure the borrower repays a monthly amount they can afford and at the end of the set time, any remaining debt is written off.