Menu
30/01/2012
People Fear Economic Challenges in 2012, According To Report
People fear this year will bring increased economic challenges with a drop in disposable income, according to a new survey.
The Irish League of Credit Unions announced the results of its first Household Income Tracker for Northern Ireland.
Almost two-thirds (65%) of people in Northern Ireland fear 2012 will be even more difficult financially than 2011. The belief that the economic challenges are about to become greater is leaving a quarter of consumers worried about their ability to manage their finances over the next 12 months. The tracker found that approximately 170,000 people (12% of all adults) have no money left after paying their bills, while 670,000 (44%) have less disposable income than this time last year.
Of the 35% of adults (493,000) who have less than 5% of their income left over after they pay their bills, over 400,000 worry about their ability to meet unforeseen expenses, while 296,000 fear about coping if income tax or welfare rates were to change.
Fuel costs remain a pressing concern for people in Northern Ireland. 83% of consumers say the increased cost of energy and fuel has impacted on their spending ability. Almost nine in ten adults (87%) say they switch off heating during cold periods to save fuel.
Half of residents (51%) say they were forced to sacrifice other household spending to pay for fuel this winter.
A typical Northern Ireland consumer pays out £131 on fuel each month.
The continued public fear over the price of fuel has seen people turning to pay-day loan companies and moneylenders.
The increase in fuel costs saw over 100,000 people (8% of residents) take out loans to cover their bills. Almost a quarter of these loans (23%) were taken from moneylenders.
A typical loan from a moneylender amounts to £300 with an average interest of 95% leading to a repayment of £586. 14% of those who took out a loan were unable to meet their repayments.
40,000 people (4% of Northern Ireland residents) have taken a pay day loan to cover essentials such as food and bills – 26% of respondents who went to pay day companies did so to pay for food.
A quarter of these who took the loans were unable to meet their repayments on time.
Commenting on the first Household Income Tracker Northern Ireland, Rosemary O'Doherty of the Irish League of Credit Unions said: "The launch of the tracker is an important initiative by our movement as we identify the issues facing people, including our 409,000 members, in communities across Northern Ireland.
"It is clear that people are expecting a year of new challenges and financial pressures. The fact that people have to turn to high interest loans from moneylenders and payday companies in such large numbers is of particular concern.
"In the case of moneylenders loans are being offered which are up to 15 times more expensive than those available from local credit unions.
"In the coming months we will be publishing further trackers which I am sure will contribute to the general debate about the impact the general economic situation is having on people in Northern Ireland."
(CD/GK)
The Irish League of Credit Unions announced the results of its first Household Income Tracker for Northern Ireland.
Almost two-thirds (65%) of people in Northern Ireland fear 2012 will be even more difficult financially than 2011. The belief that the economic challenges are about to become greater is leaving a quarter of consumers worried about their ability to manage their finances over the next 12 months. The tracker found that approximately 170,000 people (12% of all adults) have no money left after paying their bills, while 670,000 (44%) have less disposable income than this time last year.
Of the 35% of adults (493,000) who have less than 5% of their income left over after they pay their bills, over 400,000 worry about their ability to meet unforeseen expenses, while 296,000 fear about coping if income tax or welfare rates were to change.
Fuel costs remain a pressing concern for people in Northern Ireland. 83% of consumers say the increased cost of energy and fuel has impacted on their spending ability. Almost nine in ten adults (87%) say they switch off heating during cold periods to save fuel.
Half of residents (51%) say they were forced to sacrifice other household spending to pay for fuel this winter.
A typical Northern Ireland consumer pays out £131 on fuel each month.
The continued public fear over the price of fuel has seen people turning to pay-day loan companies and moneylenders.
The increase in fuel costs saw over 100,000 people (8% of residents) take out loans to cover their bills. Almost a quarter of these loans (23%) were taken from moneylenders.
A typical loan from a moneylender amounts to £300 with an average interest of 95% leading to a repayment of £586. 14% of those who took out a loan were unable to meet their repayments.
40,000 people (4% of Northern Ireland residents) have taken a pay day loan to cover essentials such as food and bills – 26% of respondents who went to pay day companies did so to pay for food.
A quarter of these who took the loans were unable to meet their repayments on time.
Commenting on the first Household Income Tracker Northern Ireland, Rosemary O'Doherty of the Irish League of Credit Unions said: "The launch of the tracker is an important initiative by our movement as we identify the issues facing people, including our 409,000 members, in communities across Northern Ireland.
"It is clear that people are expecting a year of new challenges and financial pressures. The fact that people have to turn to high interest loans from moneylenders and payday companies in such large numbers is of particular concern.
"In the case of moneylenders loans are being offered which are up to 15 times more expensive than those available from local credit unions.
"In the coming months we will be publishing further trackers which I am sure will contribute to the general debate about the impact the general economic situation is having on people in Northern Ireland."
(CD/GK)
Related Northern Ireland News Stories
Click here for the latest headlines.
18 November 2002
Pilot fuel poverty project 'saves lives and money'
Benefits valued at more than £1.5 million have been delivered by an investment of £300,000 in a pilot project aimed at defeating fuel poverty in Armagh and Dungannon. The pilot project was set up to help vulnerable people living in the villages of Aughnacloy and Darkley, which are part of the Armagh and Dungannon Heath Action Zone.
Pilot fuel poverty project 'saves lives and money'
Benefits valued at more than £1.5 million have been delivered by an investment of £300,000 in a pilot project aimed at defeating fuel poverty in Armagh and Dungannon. The pilot project was set up to help vulnerable people living in the villages of Aughnacloy and Darkley, which are part of the Armagh and Dungannon Heath Action Zone.
01 March 2013
Former Minister Says SDLP Should Leave Executive
The SDLP should leave the Northern Ireland Executive, as it is not doing enough to bring people together, former SDLP Minister Brid Rodgers. Appearing on BBC Northern Ireland’s The View on Thursday, she said the SDLP should become part of the opposition. However, it is a move that is contrary to party policy.
Former Minister Says SDLP Should Leave Executive
The SDLP should leave the Northern Ireland Executive, as it is not doing enough to bring people together, former SDLP Minister Brid Rodgers. Appearing on BBC Northern Ireland’s The View on Thursday, she said the SDLP should become part of the opposition. However, it is a move that is contrary to party policy.
14 October 2013
Applicants Encouraged For Winter Fuel Payment
The Department for Social Development is urging people born on or before 5 January 1952, who have not received a Winter Fuel Payment before, to pick up the phone and check if they are eligible.
Applicants Encouraged For Winter Fuel Payment
The Department for Social Development is urging people born on or before 5 January 1952, who have not received a Winter Fuel Payment before, to pick up the phone and check if they are eligible.
13 February 2002
Reid tells Americans 'Northern Ireland people understand'
The Secretary of State John Reid has told the Americans that the people of Northern Ireland understand how they feel in the face of the threat of terrorism.
Reid tells Americans 'Northern Ireland people understand'
The Secretary of State John Reid has told the Americans that the people of Northern Ireland understand how they feel in the face of the threat of terrorism.
02 September 2024
Alliance Raise Concerns Over Cuts To Winter Fuel Payments
The Alliance Party has raised concerns over the impact of UK Government restrictions on Winter Fuel Payments (WFP) to recipients of Pension Credit and other means-tested benefits.
Alliance Raise Concerns Over Cuts To Winter Fuel Payments
The Alliance Party has raised concerns over the impact of UK Government restrictions on Winter Fuel Payments (WFP) to recipients of Pension Credit and other means-tested benefits.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
