The Consumer Credit Counselling Service (CCCS) has warned that rising household bills are forcing increasing numbers of people into debt.

It said that the average client is spending £32 a month more on utility and council tax bills than in 2003 and that the situation is set to get worse as recent wholesale gas and electricity price rises kick in.

Malcolm Hurlston, chairman of the CCCS, said: “For those on the brink of debt problems, any substantial increase in utility bills and council tax demands can have dire consequences and push them over the edge.

“Utility companies should consider freezing price increases for people who are on debt management plans.”