Households’ financial resilience will be eroded over the coming year as the cost-of-living squeeze tightens, according to economic modelling. In a year’s time, the areas of Britain where fewest people have enough money left at the end of the month will include Yorkshire and the Humber (6.7%), the North East of England (7%), Wales (8.1%), the East Midlands (8.7%) and the West Midlands (9.2%), it was suggested.
The figures were released in the Hargreaves Lansdown savings and resilience barometer, produced with Oxford Economics. Researchers used official data for the modelling, including the Wealth and Assets Survey.
Over the next 12 months, the percentage of people with sufficient emergency savings will fall from 62% to 57%, it was predicted. Having sufficient savings was defined as enough to cover at least three months of essential spending.
