" /> UK household debts see big increase
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Debts excluding mortgages are on the rise in the UK, according to the Office for National Statistics.

Debts including credit card debt and personal loans rose 11% to £119bn in the two years to March 2018, according to the ONS study, which is published every two years.

Average household financial debt rose 9% to £9,400.

Much of the increase is a result of higher student loan and hire purchase debt.

“The figures are skewed slightly by the £32bn of student debts – which the vast majority of graduates will never pay back in full,” said Sarah Coles, personal finance analyst at stockbroker Hargreaves Lansdown.

“However, even excluding that we’re carrying £87bn in loans, credit cards, hire purchase agreements, overdrafts and arrears.”

Median financial debt – taking the middle household as the norm, rather than dividing total debt by the number of households – grew 12% to £4,500. This figure excludes households with no debt and suggests these debts are not evenly spread.

The poorest 10% of households have debts three times bigger than the value of assets they own, while the top 10% have total wealth – property, pensions and other assets- worth 35 times larger than their debt. Read more

Also Read: Can a comprehensive Brexit deal be done by the end of 2020?

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