Cost of living crisis forces Brits to abandon saving, with more than one in five taking on EXTRA debt

More than four in 10 of the population expect to save no money whatsoever over the next year, according to the Office for National Statistics (ONS).

Inflation has raced ahead over the last year and has been running in the double digits for several straight months, although it has eased from a peak of 11.1 per cent to 10.1 per cent.

Pay growth is failing to keep pace with prices, forcing people to use cash they may have usually saved to fund spending, the ONS’s figures indicate.

For some, living costs have risen too sharply for them to fund spending through their monthly income or by reducing savings.

“More than a fifth of adults in Great Britain (22 per cent, equal to around 11.5 million people) reported borrowing more money or using more credit because of the increased cost of living,” the statistics agency said today.

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