More than 4.4 million people have still not cleared their borrowing from last Christmas, a new report has warned.

Price comparison website MoneyExpert.com has conducted research which shows one in ten credit card customers have not yet fully repaid last year’s festive borrowing, and it warns they could be paying a considerable amount in interest.

Sean Gardner, chief executive of MoneyExpert.com, commented that some people should cancel their credit cards this year to avoid overspending.

He said if debt "lingers" from year to year, it suggests the borrower is in trouble.

"With lenders getting tough that is not a good position to be in. If you’ve not cleared the debts of Christmas past it is time to face up to the future," Mr Gardner concluded.

The government advises those seeking to become debt-free to consider options such as consolidating debts, making informal agreements with creditors, applying for an individual voluntary arrangement or using the services of a debt management firm.