Paying off debt and becoming debt free has soared ahead of saving, according to new research by

According to the research, we are aiming to become debt free by repaying £1.76 for every pound saved by the end of 2008. In total we repaid £38.6 billion of non-mortgage debt, which is the first time during the eight-year study that more debt has been paid off than saved.

Speaking about the findings, David Elms, Chief Executive of, comments: “The financial turmoil which hit Britain last summer prompted a dramatic retreat from savings in favour of starting to pay down personal debt.”