More than 23,000 people have been declared insolvent in England and Wales so far this year - a 73% increase on May 2005.

But what action can people in debt take to change their situation before it reaches that point?

Free advice is available from independent bodies such as the Citizens' Advice Bureau. Debt case worker Chris Jones, of the Pembroke and District office, said 95% of people they see are eligible for free help through the Legal Services Commission.

"When people are deeply in debt, it is sometimes hard for them to see a way out," he said. "We can be more objective and try to find a solution."

Bureau advisers see people of all ages and backgrounds, with debts ranging from £600 to £40,000 or more.

Separations and bereavements can leave one person with debts designed for two and sudden employment changes can make previously manageable commitments appear impossible.

National statistics show 1.92 million people in the UK have unsecured debts of more than £10,000. The average consumer owes more than £4,000 - increasing to £25,195 including mortgages.

Mr Jones believes debt problems are disproportionately high in Pembrokeshire due to lower incomes.

There are currently 79 people making debt payments through Pembrokeshire county court following legal action by creditors. This is a marked increase on the 55 cases in May 2005 and 24 in May 2004.

The CAB in Pembroke Dock offers specialist debt services, while branches in Haverfordwest, Pembroke Dock, Cardigan and Carmarthen are also able to give confidential financial advice.

Mr Jones and his colleagues help people work out how much debt they have and what they can realistically afford to pay back each month. This enables debtors to approach creditors with manageable repayment timetables.

Numerous advertisements in the media offer to help people with debt, but Mr Jones recommends caution. He said most companies charge clients for their services and consolidating debts under one loan is only a short-term solution.

Lower monthly payments may seem attractive, but they can hide exorbitant interest rates that cost much more in the long term.