During the current climate of financial uncertainty, consumers who are concerned about their ability to manage their money are being proactive in tackling such difficulties.

Such is the claim of Fairinvestment where in a recent piece of research it was revealed that a significant number of Britons are taking action in regards to reducing their expenditure as the credit crunch continues to make its impact felt across the country. When asking what changes they would make due to the continued decline in the financial markets the firm revealed that just under a quarter (23 per cent) of consumers are set to cut back spending on luxuries. The study also showed that sacrificing going away on holiday and changing a mobile phone deal is to be done by 16 and four per cent of people respectively in order to reduce pressures on their spending. Meanwhile, 13 per cent of those surveyed are set to switch their energy supplier.

Following on from such attempts to cut back on their spending, the financial services firm intimated that many people are already “feeling the squeeze” that higher bills and more costly monthly mortgage repayment brings.

Indeed, the impact of the credit crunch on consumers’ disposable income could also have an effect upon their capacity to manage other demands on their spending. Such areas could well include repayments on credit and store cards, personal loans, council tax and transport costs.

However not all Britons are set to be more prudent with their finances, as 17 per cent of respondents claimed that they do not envisage making any changes to how they manage their money as a result of the credit crunch.

Commenting on the figures, David Doulton, director at Fairinvestment, said: “I am surprised by the percentage of people who do not intend to make any changes to their spending habits; I can only assume that these people either do not have mortgages or are still enjoying a fixed rate. As we have seen over the past few weeks, the housing market has, so far, been the worst hit by the credit crisis; lenders have rapidly been pulling their best deals and the structure of mortgages has been rearranged to include fees and abnormally large deposits. People having to remortgage at the moment will undoubtedly be left with less spare cash at the end of the month.”

Furthermore, research by the firm showed a general unwillingness among Britons to add upon the pressures that their finances face. Just one per cent of those questioned stated that they are planning to get another credit card, with only three per cent looking to increase their overdraft.

“The small number of people who plan to get more credit just shows how the economy has changed,” he added.

With the credit crunch set to have a deepening impact on the financial fortunes for many Britons over the remainder of 2008, those concerned about their ability to keep up with various monetary demands may be advised to be proactive in doing so. Such consumers may wish to consider applying for a consolidation loan. By taking out this kind of loan, borrowers could find that they are able to merge numerous spending commitments, such as credit cards, existing loans and household bills, into a single low-cost monthly repayment.

Indeed a consolidation loan might prove to be of particular assistance as a recent study carried out by Chiltern revealed that the average person on an informal debt management plan is indebted to eight different creditors and will take them 146 months to get back into the black. And although the total amount of money owed was shown to have fallen below the 26,000 pound barrier for the first time, it was stated that consumers have no room for complacency. In addition the firm pointed out that the numbers of 100 per cent mortgages and home loans available in the market overall has fallen during the last 12 months.

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