A "huge amount" of the public will rely on credit to afford their Christmas spending, according to AWD Chase de Vere.

The independent financial advisers said that with increased mortgage rates and spending figures, people should really be planning ahead for the festive period and saving rather than solely using credit cards.

It is a "worrying time" as borrowing money rather than putting it away is "the norm", said Susan Hannums, savings manager for AWD Chase de Vere.

She advised: "If you really can't afford it, and it is going to be pushing the budget, then perhaps we need to be a little bit more imaginative with gifts and not necessarily splash out."

Total consumer credit lending to individuals stood at £212.1 billion in November 2006 and has increased over six per cent over the last 12 months, says Credit Action. The debt charity also claims that Britain's personal debt increases by £1 million every four minutes.

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