By Robert Adungo

Nearly one in three Brits do not having a savings account, while 40% tend to spend most of their money on things they want, rather than put it away for a rainy day, new research commissioned by Skipton Financial Services shows.

The study by the mutually-owned financial adviser revealed that even those who do save are not putting away enough, with one in four saying they are sticking away £55 less each month than they did in 2010.

Decreasing savings may be explained by the rising cost of living; the typical British family now needs to bring home a staggering £24,600 a year - just to break even, says Skipton.

After paying off mortgage or rent, utilities, insurance, food shopping and motoring, dressing up the family, operating a mobile phone and landline, travelling to and from work and maintaining a property, there may not be much left.

"It's frightening how everything adds up. The cost of living is astronomical and now more than ever people have to be on the ball with their expenditure," comments Andrew Barker, managing director of Skipton Financial Services.

"Get your bank statements and check all direct debits and standing orders. It is vital that you are aware how much is going out of your account and you may even spot things like magazine subscriptions or gym memberships that are no longer needed."

Skipton's figures complement those from financial planning website, rplan, which showed that nearly half (44%) of British households are up to £250 worse off a month now than in 2008, as we reported.