Self-employed less able to pay off debt, report shows

Contractors working in a variety of industries across the UK could be encouraged to seek the advice of a specialist accountancy service following the publication of a recent report.

Figures published by debt charity CCCS have shown that self-employed workers are less able to pay off their debts than those employed in regular nine-to-five jobs.

According to the research, just 17 per cent of self-employed callers to CCCS in 2010 had sufficient money to be put on a debt-management plan.

By way of comparison, 27 per cent of employed callers had sufficient reserves.

Geoff Waugh, head of the CCCS Self-Employed Centre, commented: "The problem for most self-employed people who seek our help with their debts is that they have very low income levels.

"Not only are a large proportion not earning enough to repay what they owe, a significant number don’t earn enough to cover the cost of day-to-day living."

Source: brookson.co.uk