Amount of debt taken on and amount saved both fall

According to unbiased.co.uk`s `Savings Brake` research, saving levels fell considerably during 2008 - from around £39bn per quarter to £20bn, and they haven`t improved since, with the latest set of figures showing people are now putting away just over £16bn per quarter, headlinemoney.co.uk reports.

Meanwhile, the figures also reveal that Brits are now taking on 37p of debt for every pound they are saving. This is very different from what we saw during 2008 - when Brits were paying back £1.67 of their debts for every pound they saved.

Unbiased.co.uk`s Savings Brake research shows the ratio of how much debt (unsecured debt and equity release - but not mortgages) people are taking on, in contrast with how much people are putting away.

And although debt levels are a lot higher than they were in mid-2008, statistics show that they have dropped since the end of 2009. Overall, Brits are now borrowing just over £6bn per quarter, which is £8bn lower than the amount they were borrowing at the end of last year.

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