People are being more sensible with their money and are reducing their levels of personal debt, which is good for the UK, it has been claimed.
According to David Kuo, director of Fool.co.uk, people are concentrating on paying off their debts during the recession.
He said: "[Consumers] are making use of the lower interest rates to repay debt and that can be no bad thing for the UK because the only way [the country] can dig itself outside of this hole is to get consumer debt down to a more sensible level."
Mr Kuo also predicted that people will not start spending money as freely as they did prior to the recession until they witness a stabilisation in the employment market.
The expert suggested that consumers should have between six and nine months` of expenses saved up in case of an emergency as this could help them avoid falling into debt problems.
His comments came in the wake of figures produced by Ernst & Young, which suggested that the typical household disposable income for the average UK family has risen by over £200 compared with 2008.
