Concern over rising debt problems

Consumer debt was the biggest issue for clients

Debt is the biggest concern for those seeking help from Citizens Advice Scotland - with a 14% rise in debt-related issues in the last year.

Its annual report revealed debt made up for almost 30% of the 976,989 issues advisers handled in 2008-09.

The number of inquiries related to redundancy doubled in the same period.

Delegates at a conference in Edinburgh marking the charity's 70th anniversary will be told the recession will lead to an increase in problems next year.

Citizens Advice Scotland Chief Executive, Kaliani Lyle, said while there were signs of "green shoots" in the wider economy, the situation remained bleak for many.

'Dreadful circumstances'

She said: "The fall in income, the threat of redundancy, the spiralling debt, the disappearance of reasonable credit, the lack of affordable housing and the spectre of homelessness - many are suffering combinations of all of these things, and the result is often depression, illness, family or relationship breakdown.

"This is the reality. And it's hard to talk the language of recovery when you are dealing face-to-face every day with people who are living with such dreadful circumstances."

The report said the largest increase for any area of inquiry was for legal problems, including bank and earnings arrestments and sequestration, which were up 19%.

Social security benefits issues also increased by 10%, accounting for 26% of all issues raised.

A Scottish Government spokesman said minsters were working with bodies, including as Citizens Advice Scotland, to help families in need of debt advice.

This included, he said, £3m for extra in-court and other advice services and boosting the Home Owners' Support Fund to £35m.

The report was based on inquiries at each of the 71 Citizens Advice Bureaus in Scotland.

The figures do not represent a head-count, as individual clients may have asked for advice on a number of issues.