The financial wellbeing of the country's consumers declined over the first quarter of this year, new research suggests, which may have forced some to get credit.
Alliance Trust has announced that during the three-month period, its UK Financial Reality Index only reached a level of 77.3.
This compares with the previous level of 90.5 recorded by the firm.
There are various factors which have contributed to this deterioration, according to Shona Dobbie, who heads the Alliance Trust Research Centre.
She stated: "This downward move has been largely due to lower levels of earnings growth and the negative impact of higher levels of inflation on real disposable income."
Now that a new government is in place, consumers may additionally have to deal with tax increases in the coming weeks, Ms Dobbie highlighted.
With last week's general election resulting in a hung parliament, David Cameron has now been confirmed as the country's new prime minister.
Posted by Martin Peacock.
