The financial situation is tightening for many families, it has been claimed.

Shadow chief secretary to the Treasury Philip Hammond explains that a number of rising costs are placing an increasing burden on British households.

For those who find they can no longer afford to maintain their standard of living, but who have equity held in property, homeowner loans could be the ideal way of funding a short-term financial crisis.

Mr Hammond's comments come in response to figures from the Office for National Statistics, which show an annual increase of 4.5 per cent in the cost of products purchased directly from the manufacturer.

Of this, 0.5 per cent was in November alone, with food and fuel two key areas of price growth.

"This is more evidence of Gordon Brown's so-called economic legacy tightening the screws on hard-working families," Mr Hammond contends.

"Ordinary families are finding it ever harder to make ends meet," he adds - which could lead many to turn to homeowner loans as a source of funding.ADNFCR-1287-ID-18390304-ADNFCR

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