As the credit crunch's grip on the economy in the UK tightens, debt is increasingly shadowing consumers and their purse strings.
In news that may be of interest to those on the lookout for unsecured loans, figures from the National Office of Statistics reveal that growth of gross domestic product (GDP) was 0.0 per cent during the second quarter of 2008.
This percentage had to be revised down from the 0.2 per cent forecast in a previous estimate, said the body.
Meanwhile, research from Grant Thornton showed consumers are earning less than the debt they are accumulating.
According to the survey, the total debt for mortgages, loans and credit cards has risen to £1.44 trillion during the first half of the year and outstrips the total UK output which is at £1.41 trillion for the same period.
Stephen Gifford, Grant Thornton's chief economist, said: "Despite the global downturn flattening the growth of personal debt and UK GDP over the past few quarters, debt levels continue to grow at a faster rate than the income the UK generates."
He added that although there is no cause for panic just yet, if the property market and economy continue to fall then the number of personal solvencies will start to rise further.
Grant Thornton stated that in the past decade, bankruptcies have risen from an average of 24,000 per year in 1997 to an average of over 100,000 per year in both 2006 and 2007.
As the level of debt increases, larger numbers of people are turning to credit cards and unsecured loans in order to afford to pay for everyday goods rather than luxury items.
The Daily Telegraph reported on figures that show Brits are still taking on £1 billion worth of unsecured loans per month, according to figures from the Bank of England.
Figures from a study by the Moneyback Bank and AOL suggest that the amount issued to consumers has dropped by £2.6 billion per year.
However, a spokesperson for the pair's research, said: "People that do successfully secure a deal can expect to pay £1.2 billion more in interest than they did this time last year, making it a really tough market for both lenders and borrowers."
Additional research that may be of interest to those seeking unsecured loans comes from a study by Experian which showed that middle class people are being hit by higher levels of debt.
Consumers living in areas such as London and the south-east have borrowed four times more than those living in supposedly more deprived places like Scotland and the north-west.
The report suggested that many families are over £50,000 in debt.
Keith Tondeur, of the advice service Credit Action, said: "Over the past 15 years Middle England has had it good but now they are feeling the squeeze."
"During the good times they have got used to borrowing money and having easy access to credit based on the mentality they should take on a lot of borrowing because their house prices will keep growing," he stated.
Further findings from a study by Key Retirement Solutions showed that many people do not expect their debt to go away, even following their retirement.
The average Brit aged 55 or older is more than £11,000 in the red which totals an estimated £66 billion.
Even chancellor Alistair Darling has added fuel to the credit crunch fire by admitting the economy is in a poor state.
In an interview with the Guardian, he said that the UK was facing the worst financial crisis for 60 years.
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