British more concerned about their debt levels - study

London: British fear their debt levels more than any other citizens in major European nation except Spain, a study is set to reveal.

The Independent reports that an estimated 35 per cent of people who responded to a pan-European survey on consumer said they felt their borrowings were too high relative to their income. This is in compared to a Europe-wide figure of 30 per cent, with only the Spanish (45 per cent) in a worse position, the newspaper said.

The study, which is due to be published later this month, is written by the financial strategist David Bowers. About 6,011 European adults took part in the study. About 46 per cent of respondents admitted to have borrowed in the form of credit cards, car loans or unsecured bank loans, while a third had mortgages.

The study also found that the availability of credit remains limited. Some 21 per cent of Britons surveyed said they found it "very difficult" to obtain a loan, with a further 38 per cent rating the process as "difficult". For Europe as a whole, the figures were 21 per cent and 41 per cent respectively.

Despite these figures, the Institute for Chartered Accountants in England and Wales are confident that the economy is on recovery with the Business Confidence Index showing another quarterly rise. The index has risen for the third successive quarter to 24.6, up from 4.8 in the third quarter and minus 36.3 a year ago.