It has been revealed that Hounslow residents are the worst in debt, since the financial downturn hit.

The situation is so dire, that those seeking debt advice are on average around £20,000 in the red. The report stated that the region would be one of the worst affected boroughs if free help with managing debt was no longer available.

The study warned that London is facing a debt crisis without Government action. The ‘Up to our neck in it’ report was presented at the capital’s first ever debt meeting at City Hall, organised by charity Capitalise.

The group stated that on average, the common debt is £19,898, which callers have to manage on an average monthly income of £866; this is about a third of the UK average.

Graham Fisher, chief executive officer of Toynbee Hall which is leading the Capitalise partnership, said: “Our advisers report that creditors are reacting to the debt crisis by passing on more cases to debt collection agencies and resorting to court actions or bailiffs.

“Employers also have an important role to play in preparing their workforce for potential redundancy and helping them to take preventative measures to stop them sliding into debt.”

“We’re calling for an integrated approach between local and central government and the voluntary sector in order to tackle the increase in personal debt caused by the recession, and more intervention where creditors are acting unreasonably.”