Debt Advisory Line

Debt Advisory Line

March 15, 2011 06:30 ET

New UK Budget Spells Good News for Consumers' Wallets

Pro-Business Stance to Provide More Jobs and Debt Relief

STOCKPORT, UNITED KINGDOM--(Marketwire - March 15, 2011) - The "all-action budget" recently announced by prime minister David Cameron may spell good news for consumers' wallets, according to Marketing Manager Craig Gedey from leading debt relief agency The Debt Advisory Line: "We welcome this indication of steps towards improving the spending power of consumers", Gedey remarked, "It is now vital that these initiatives are extended into providing even more concrete debt relief and reducing the increasing danger of personal bankruptcies and business insolvencies."

After years of inactivity, the current government finally seems to make true on promises of getting the budget right. In a speech widely considered as an indication of incisive action, the prime minister reaffirmed his intentions of slashing red tape, trimming bureaucracy, supporting entrepreneurship, reducing the gaping deficit and getting the economy competitive again. Of course, the most urgent question facing consumers, as they are witnessing dramatic increases in personal debt, bankruptcies and youth unemployment as well as an economy slowing down to the point of a double-dip recession, is what all of this will actually mean for their disposable income.

According to The Debt Advisory Line's analysis, the general impact of the measures is certainly beneficial, as the strengthened focus on a pro-business policy is likely to translate into more jobs and thus a higher overall spending power. More to the point, the intended reduction of the various layers of administrative regulation hampering the growth of innovative start-ups constitutes an important signal for change. It is seminal, however, for these initiatives to always take into account the seriously threatening debt situation in the UK as well. As John Cridland of the Confederation of British Industry has correctly pointed out, an essential aspect of the new budget in this regard lies in making it easier for smaller and medium-sized entrepreneurs to tap into the credit market – a step which would not only allow them to invest more, but also reduce the danger of running into debt.

Inevitably, minor disappointments are also part of the package. Tax cuts on a larger scale are unfortunately a far way off, for example. According to Cameron, the primary focus is still on consolidating the budget. Once financial targets had been met, however, he firmly intended to share the benefits: "Do I want to see, at the end of this hard road, lower taxes for hard-working people? Yes I do." The much talked about one-penny-above inflation rise in petrol tax might also not go ahead after all, thereby avoiding unnecessary pressure on consumers' wallets. As The Debt Advisory Line's Craig Gedey put it: "Every little step counts - although we would certainly appreciate even more tangible contributions with regards to supporting those in debt or in danger of entering bankruptcy in the near future."

Debt Advisory Line was voted the Debt Management Provider of the Year in both 2008 and 2009 at London's Insolvency & Rescue Awards, and was shortlisted once again for the award in 2010. The company was also shortlisted for the title of Debt Management Counselor of the Year in 2008. Debt Advisory Line is a member of DEMSA (Debt Managers Standards Association), established to promote good practices in the debt management industry, and to protect the interests of both the public and lenders to whom they owe money.

Contact Information

  • Debt Advisory Line
    Rachel Ford
    0800 157 7254