Contractors who have found themselves in debt should not lie to themselves about how much they owe, one expert has said.

Kim Stephenson, financial psychologist and creator of Taming the Pound, said that sorting out debt is made even tricker by a refusal to acknowledge the full extent of the problem.

He continued that marital finances can also be made complicated if the debt is not wholly acknowledged.

"It is much better to start off by working out what you actually want - what will really make you happy. Work out what you really want to achieve with your life, then have a good hard look at what you actually do with your money and whether it goes on what you really want and value," he said.

This comes after a report by unbiased.co.uk said that Britain gives an unnecessary £13.5 billion to the taxman.