Demand at Britain's largest pawnbroker at record levels

Growing numbers are trading their belongings to buy essentials

- MAY BULMAN

Demand at the UK's largest pawnbroker has hit a record high, with the amount of money lent to people in return for pawning goods having surged as the cost of living crisis deepens.

Ministers have been accused of failing to take adequate action to protect people from the impact of rising bills as it emerged that growing numbers of people are trading their belongings for cash to pay for essentials such as food and heating.

Figures shared with The Independent by H&T Group, Britain's leading pawnbroker, reveal that its pledge book - the amount borrowed by customers in exchange for their own possessions increased by 17 per cent in just four months this year, from £66.9m to £78.3m.

Pawnbrokers lend money to individuals in return for personal property that can be sold if the loan is not repaid by a certain date.

Shadow work and pensions secretary Jonathan Ashworth said the figures were a "damning indictment of the lack of action" from chancellor Rishi Sunak in the face of the hike in living costs.

"More struggling families and pensioners are now so desperate to scrape together some cash they are forced to part with wedding rings, jewellery, watches and power tools at pawnbrokers with the big risk they will never get these precious items back," he added.

"This is yet another reason why we need an emergency budget to offer real help now."

Simone, 45, who didn't want to use her full name, told The Independent that while she previously used the pawnbrokers very rarely and only in emergency situations, since the start of this year she had been pawning her jewellery on a regular basis "just to get by".