DURHAM County Council is to stop people accessing payday lenders’websites lenders from its computers.

Staff and library users who go online in library computer suites will be redirected to a page about local credit unions.

The move comes in the wake of growing concern about the high annual interest rates charged by the companies and their impact on borrowers who repeatedly take out loans.

A council spokesman said: “To encourage more people to avoid the perils of payday loans, Durham County Council is also in the process of banning access to their websites from all of its computers.

“As a result, all staff and members of the public using council computers, such as those in libraries, will be redirected to information about the credit unions and help and advice on money matters instead.”

The council has been urging its employees and county residents to sign up with the Prince Bishops Community Bank and the NE First Credit Union (formerly the Durham County Credit Union).

It has held special open days at which people can find out more about their services.

More than 150 council workers have signed up with the unions, which are regulated, offer dividends to savers, cheaper loans and access to low- cost weekly furniture and white goods buying schemes.

Councillor Jane Brown, cabinet member for corporate services, said: “We’re delighted that so many of our staff have discovered the benefits of saving with local credit unions and are appealing for the public to join them.

“ It’s vital that the council takes measures to protect residents from becoming trapped in debt and the block on payday loan company websites will ensure local people are aware that there’s a safer way to save.”

Further information on the credit unions is at www.princebishopscommunitybank.org.uk and www.durhamcountycu.co.uk