By Marcus Leach

Almost one million people have taken out a payday loan to help pay their rent or mortgage in the last 12 months, according to a new Shelter survey.

The survey also reveals that almost seven million people in total are relying on credit in some form to help pay their housing costs, using payday loans, unauthorised overdrafts, other loans or credit cards.

These results show the spiral of debt that people are falling into in order to keep a roof over their head.

Shelter is warning that the New Year could bring with it a risk of homelessness for people who are struggling with their housing costs.

They are urging anyone worried about their debts to seek early debt advice as their New Year’s resolution.

"These shocking findings show the extent to which millions of households across the country are desperately struggling to keep their home," Campbell Robb, Shelter’s Chief Executive said.

"Turning to short-term payday loans to help pay for the cost of housing is totally unsustainable. It can quickly lead to debts snowballing out of control and can lead to eviction or repossession and ultimately homelessness.

"Every two minutes someone in Britain faces the nightmare of losing their home. We urge every single one of these people now relying on credit to help pay their rent or mortgage to urgently seek advice."

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