The Insecure, Pressurised, Over-taxed and Debt-ridden 18-34 year olds, otherwise known as the IPOD generation, are most at risk in recession- claims a report by think tank Reform.

The research claims many 18-34 years face huge debts and have little savings with a mean debt of £6,000. With regards to savings, 60% of IPODs have either no savings or less than £1,000,while 1 in 5 hold debts of over £10,000.

Student debt and the spiralling cost of everything from food to car insurance means that those in their 20s and early 30s have the highest borrowing of any age group in the UK. Find Out How to Cut your Student Loan & Student Debts Online Now.

The study claims that the reason for such a poor financial CV is that those in their 20s and early 30s are part of the ‘gilded’ generation. IPODs are ‘uniquely pampered and over-protected, yet deeply confused when it comes to their money. Having grown up in a time of economic growth and easy credit, they have been encouraged by government and the banks to borrow to the hilt without considering the consequences,’ says the report.

However, Unbiased.co.uk claims IPODS are not the only ones suffering with their finances under the credit crunch. According to their research borrowing across the UK has reached £5.9 billion (in the second quarter of 2008), pushing debt levels up by almost £800 million.  

“People are currently feeling the pinch – but this will only continue to get worse if they are both increasing the amount they are borrowing and reducing the amount they are saving,” comments David Elms, Chief Executive of Unbiased.co.uk

“It is crucial that people take action now and make sure that they are taking control of their finances,” he adds.

According to Lucy Parsons, Senior Economics Researcher at Reform, the financial establishment and government have let the IPOD generation down - with products that do not suit their lifestyles and poor advice.

Regardless of whose to blame Trevor Matthews, President of The Chartered Insurance Institute, says it is paramount that trust and confidence is restored amongst the IPOD generation.

“Trust and the ability to explain complex concepts are the cornerstones of their service expectation,” adds Matthews.

Read more: From the ‘just-case’ credit card user to the spend-spend-spend shopaholic most people in Britain own at least one credit card. Our tips and advice can help you cut your credit card debt and stay debt-free for life. For details, Click here.

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