16m Britons have nothing left after payday
UK individuals have been urged to stabilise their spending in order to ensure they have a financial safety net for emergencies.
Provider Bright Grey has called for prudence after revealing that it estimates that 16 million Britons have nothing left from their pay cheque each month.
According to their Financial Safety Net report, the average Britain spends £1,315 per month, and 33 per cent of those surveyed spend more than their salary or just manage to break even.
Approximately 10 per cent – equal to 4.9 million individuals – regularly spend more than their salary.
Roger Edwards, proposition director at Bright Grey, told IFA Online: “There is no doubt that 2012 is going to be a tough year for consumers, and the fact that a third of people currently have no money left at the end of the month is a worryingly fragile situation to be in.
“At a time when money is tight, consumers should really think about their outgoings, how they can support themselves and their families in the best way, and protect themselves against any future financial difficulties as times may get worse.
“It is a false economy to believe that just spending on the here and now is going to keep Britons in good stead.
“By cutting back slightly on some of their outgoings, most adults should be able to find a small amount of money to help provide the ‘financial safety net’ they may need in an emergency situation.”