Money worries are affecting day to day lives as 36 per cent of Britons struggle to live on their salary
Britons are relying on savings and borrowing in increasing amounts in order to stay afloat with the rising cost of living.
The economic downturn has caused as many as one in five people to borrow money in order to buy groceries, according to a survey by consumer group Which? Those with savings are also hit as one in four have dipped into funds to afford everyday items,
The rising cost of living has also affected the way we spend. ‘We know consumers are worried about rising food and energy prices. Our research also highlights significant changes being made to other buying decisions,’ says executive director of Which?, Richard Lloyd.
‘One in five people told us they had gone into debt just to buy food and other essential goods.’
Consumers are now much more likely to buy in discount stores and search for bargains online, while a separate study by Scottish Widows confirmed that consumers are putting their own savings in jeopardy in order to help family members in need.
According to Scottish Widows, £12,846 has been donated to families or loved ones since the economic crash in 2008.
This reflects a change in our traditional financial support systems, with nine per cent of adults admitting to subsidising their parents rather than the other way around.
Which? also found that these figures add up to a much lower satisfaction level among consumers, with just 61 per cent claiming to be content with their lives compared with 77 per cent in 2007.