Britons in debt `flocking to pawnbrokers and payday lenders`

Payday loans and pawnbrokers have become a £2bn-a-year industry as a result of debt problems and the reduced availability of `conventional` credit in the UK, The Metro reports.

Numbers of pawnbrokers have almost trebled in the last seven years, while payday loans companies have also experienced a surge in business.

The increasing popularity of pawnbrokers has been helped in part by the rising value of gold, the article adds, meaning customers can get more money for trading in their jewellery.

An expert at debt management company Gregory Pennington said: "For people who desperately need money, sometimes a traditional lender might be out of reach, or maybe isn`t fast enough - which is when many will turn to payday lenders and pawnbrokers.

"This needn`t be an issue as long as it is a realistic solution to their problem. But it won`t help in the long run if they have underlying financial problems that a `quick fix` won`t be able to address.

"For people in that situation, a better idea would be to go to an expert debt adviser to discuss more long-term ways of solving their debt problems."

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Gregory Pennington offer debt advice and debt management plans, as well as a range of other debt solutions. If you are worried about debt, contact one of our expert debt advisers now.