The number of Britons who are worried about job security has continued to increase for the fifth consecutive month, according to Lloyds TSB.

Figures from its latest Business Barometer survey show that in July, the balance of people who felt their job was more secure now than it was 12 months ago fell a further 12 per cent from June’s figures, to stand at -57 per cent overall. Such a proportion is the lowest recorded since the study began and compares to a peak of -17 recorded in September 2007. Furthermore, the group noted that despite continued strong overall performances in UK labour markets, confidence in job security also reached its lowest level. Of the 2,000 people questioned in the study, the balance of people who felt their jobs were less secure now than they were 12 months ago fell to -17, down from -14 recorded in June.

Lloyds TSB also noted a gloomy outlook among many consumers when it came to the prospect of further price inflation, with 90 per cent of respondents expecting overall prices for goods and services to increase further in the next year. Meanwhile, 92 per cent said they thought that prices had risen over the past 12 months, while the number of people who thought prices were the same stood at six per cent.

For those who have struggled to keep up with payment demands in recent months and have fallen into the red as a result, taking out a debt consolidation loan may prove an effective way to stretch payments over longer periods and ease the monthly financial burden.

People questioned in the study were also found to expect further increases in the consumer price index (CPI), a commonly used indicator of price inflation. When asked what level the CPI would stand at in a year, respondents estimated a record 4.8 per cent, up from 4.7 per cent in June. Furthermore, Britons also expect to see an increase in interest rates, with 66 per cent of people believing that they are more likely to be higher than lower in 12 months’ time.

Commenting on the figures, Trevor Williams, chief economist at Lloyds TSB Corporate Markets, said: “The combination of falling employment confidence and rising inflation expectations is a lethal cocktail for consumer spending. The survey results suggest that spending growth is likely to slow sharply in the months ahead. If people don’t feel safe in their job and high prices are putting incomes under pressure then demand for discretionary purchases will naturally slow. The survey shows that consumers are bracing themselves for the worst when it comes to the squeeze on the household purse. Should the monetary policy committee be forced to increase rates over the months ahead, then at least this will come as no surprise to consumers.”

For those who have been unable to keep up with various spending commitments as monthly demands escalate, taking out a debt consolidation loan may be of interest. Opting for this loan may be an attractive option to a growing number of people after figures from the Office for National Statistics recently showed that inflation is currently running at 11-year high.

1 Stop Finance Shop providing you with breaking debt consolidation loans news.