Don’t let the backlash of the Government’s Spending Review ruin your Christmas – do something about it now.

 That is the urgent message from national free debt solutions provider Payplan which forecasts a rise in people running into debt problems in the lead up to Christmas.

 The Government’s Spending Review has hit public sector workers hardest with nearly half a million people facing redundancy. And that figure could rise to nearer one million, according to accountancy firm PwC, once the knock-on effect of public and private partnerships is felt.

 “No-one knows the full extent of these cuts yet but for more than one in five people in the UK population working in the public sector, the uncertainty in the lead up to Christmas, the highest spending period of the year, is horrendous,” says John Fairhurst, Payplan MD.

 “As we enter November, we urge people who have been living close to their financial limits and now face the threat of shorter working hours, overtime bans and worse still, redundancy, to take action now and help keep themselves out of debt.”

Payplan advises people to do their own financial forecast – prioritise the bills that need paying first to be able to live comfortably (mortgage, rent, utility bills); then consider other essentials (food, clothing, going out, socialising). Ask the question, are there any cutbacks to be made here?

Then think ahead – have you been saving money to help pay for Christmas? If not, are there any money saving actions you can take to cut down this year? Remember, it’s not all about spending money on big presents and big parties – having fun can be free!

“Nobody wants to see a rise in people in financial hardship, particularly not around Christmas time,” adds John Fairhurst. “But if redundancy or any other worsening issues look likely, we really urge people to seek help now to remain debt free.

“Contact a free debt management help company like ourselves or Citizens’ Advice Bureau or the National Debtline for instance. All are able to provide advice on debt relief, even before it happens, and without making any judgements about people and their circumstances. We can’t emphasise enough that if people address this themselves or seek help early enough, the longer term consequences can be so much easier.”

For free and impartial debt management advice contact one of the following: Payplan: http://www.payplan.com - 0800 280 2816; the Citizens Advice Bureau: http://www.citizensadvice.org.uk/getadvice.htm  - to find your local CAB branch; or the National Debtline: http://www.nationaldebtline.co.uk/ - 0808 808 4000.

Note to editors

The accountancy firm PwC recently estimated that the Government’s Spending Review cuts would result in 943,000 job losses over the next five years, not only in the public sector but also in the private sector as the cuts’ knock-on effects hit public/private partnerships, suppliers and associated businesses http://www.pwc.co.uk/eng/issues/spending_review.html

 Payplan was established in 1993 and is one of the UK’s leading providers of free debt solutions. Its award-winning service helps over 100,000 people in financial difficulties every year. With no fees to pay, it is the first choice for more and more consumers wanting help with budgeting, loans and credit card bills, repossession and mortgage arrears.