Nine out of ten Britons are comfortable with and managing their debts, according to a new survey.

Research by online credit report service MyCallcredit revealed more than 50 per cent of consumers know exactly how much they owe on credit and three times as many people expect to reduce their debt burden over the next year than expect it to increase.

Department of Trade and Industry guidelines consider anyone spending more than 25 per cent of their income on debt repayments to be overindebted but Callcredit figures show a healthy eight out of ten people are spending 20 per cent of their income or less managing their debt.

However, one in 13 surveyed say they are struggling to make repayments and are out of their depth.

"The industry needs to continue developing more responsible lending practices, like introducing true affordability checks at the time a credit application is made, and individuals need to take stock of their overall financial position to make sure they are applying for credit responsibly," said MyCallcredit director Alison Nicholson.