It looks like the downturn in the US is now hitting the UK right at its heart - the FTSE 100, pensions and homes.

Following the biggest drop in stock prices of Britain’s brightest and best stocks for more than 2 years, Trumpo woke up at 5 a.m. to track Bloomberg and BBC News 24 to ensure we are yet again ahead of the game.

It is somewhat amusing when people are struggling with their mortgages that we have that mad woman “Heather Mills” AKA”Lady Mucca” stating that with only £25 Million she will struggle to travel A class on her meager pay out - the World’s gone mad.

On a more serious note we have been made aware today that the Citizens Advice Bureau (CAB) have received a 35% increase in people seeking help as they are struggling with their mortgage. Interestingly this percentage figure is a little too similar to the drop in mortgage approvals or new mortgage requests. So what we have is the first immediate correlation with the credit crunch and Joe Public. People requesting a mortgage to settle some debt and get their finances on an even keel are finding that there are no mortgage lenders or consolidation loan banks willing or having the money available to help. The UK new lending Kitty is empty.

I understand and accept the inability for Banks to raise funds at this moment in time, but I have a major problem with the rise in the CAB’s activity. The CAB dont have a magic lending wand, and they certainly dont have the expertise. We currently have the FSA, our lovely financial services regulator, stating that if you have a mortgage query go to the FSA website and then go the CAB if the “FSA computer says no”. I will put money on a doubling of the CAB activity in the next six months, but I bet you the CAB won’t have double the staff. Then where does a troubled Mortgage payer go? I would guide consumers, if they read this, to contact a qualified Mortgage Adviser who in most instances will also hold a consumer credit license, permitting them to act as a debt counsellor.

The current report being carried out on whether the UK financial services regulator (FSA) is “Fit for Purpose” shouldn’t take too long to write!

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