Despite the Bank's monetary policy committee deciding to keep interest rates at 5.75 per cent over the course of October, it was suggested that the impact of the five increases carried out since August last year and the uncertainty seen in the global financial sector is putting more strain on levels of disposable income. In turn, it was intimated that this will see loan lenders begin to hike interest rates charged on their personal loan products. Meanwhile, surging levels of bad debt are to see more Britons begin to struggle with their finances, reports the Daily Telegraph.

Philippa Gee, from independent financial adviser Torquil Clark, advised that people should look to rein in their spending as more consumers are to see a rise in monetary pressures, with applying for a debt consolidation loan suggested as one possible way of doing this.

She told the publication: "Rate rises on personal loans are not the only increase in costs that will hit the family budget. In the months ahead, many homeowners are going to be hit with higher interest rates on their mortgage and there is also Christmas ahead which is always an expensive time of year. If the credit crunch continues, we are likely to see more rate rises. You need to reduce your debts as soon as possible, starting with those with the highest interest rate such as credit and store cards and limit your spending and expenditure as much as possible."

Meanwhile, Sue Hannums, from independent financial adviser AWD Chase de Vere, said: "We have been lucky in recent years with low interest rates, which means borrowing has been cheap. But the tables have now turned." She reported that as loans and other forms of borrowing are "not that cheap any more" consumers should take the time to consider their financial options.

As a result, the Daily Telegraph advised those borrowers looking to apply for a loan to ensure that they search for the product with the lowest rate of interest, as otherwise they could "risk paying hundreds of pounds more than [they] need to over the term of the loan".

Meanwhile, drawing up and sticking to a monthly budget was also recommended as doing so can allow consumers to identify where their money goes and areas in which they can make savings. The publication also warned those taking out a debt consolidation loan against borrowing money again and urged them to avoid extending overdraft and credit card limits.

And by applying for a debt consolidation loan, people may find that they have more disposable income left at the end of each month as they can pay off debts accrued via overdrafts, personal loans, credit cards and other means quickly. Earlier this year, Rachel Fish, commercial manager for TaxDebts, claimed that as evermore Britons struggle to manage their finances, those who find that they are getting into an untenable position to make repayments need to get themselves "sorted" by tackling their debts head on and dividing the money they owe into manageable repayments.