More people say they are struggling with bills as income pressure continues

15 August 2012

Posted by John King

A growing number of people in Britain say they are struggling to pay their bills because the cost of living is rising faster than their wages.

The Legal & General MoneyMood Survey found that the proportion of people barely holding their head above water with bills not covered has reached 16 per cent, up from 14 per cent last year.

Meanwhile, the number of households with disposable income left each month after paying for living expenses such as food and home heating oil has dropped by 600,000.

Some 44 per cent of Britons reported they are "surviving", with bills and debt covered but the situation still precarious.

Legal & General's Mark Gregory said: "The continued economic recession appears to be gradually squeezing household income with more homes struggling to stay out of debt this year."

However, this research will have been carried out before yesterday's (August 14th) news about a rise in inflation, so the next MoneyMood Survey could prove to be even more pessimistic.

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