A number of leading charity groups are expecting to see a surge in the number of people approaching their staff for advice on debt problems, it has been revealed.
Representatives from Citizens Advice and Shelter told the Guardian that they are already being approached by thousands of people each week whose financial problems have spiralled out of control.
The number of Britons seeking debt help has risen in recent years and both charities anticipate that the impact of the credit crunch will see this trend continue and gather pace in months to come.
Adam Sampson from Shelter suggested that maintaining mortgage repayments had become a real struggle for millions of British families and thousands are facing repossession.
"The crunch may force people into higher cost credit use which is unsustainable and it may tip them into crisis point," said Peter Tutton, national debt policy officer at Citizens Advice.
A report from Shelter last week revealed that while average mortgage repayment demands rose by 172 per cent over the past decade, the typical annual salary of a British household increased by 53 per cent during the same period.