Household finances are on the road to improvement, as fewer families said they were “struggling” to pay bills now compared to last autumn, the Telegraph reported this week.
In addition, 1.47m more households claimed to be “surviving,” with enough income to cover monthly expenses but without the means to build savings, according to the Legal & General MoneyMood survey.
“Perhaps the combined effect of lower inflation and the costs of utilities and food starting to fall is producing some green shoots of recovery in household finances,” says Mark Gregory, L&G executive director.
The “struggling” households were typically short £96 a month, with the highest monthly deficit being an average of £261 in London.
Stable homes were saving about £93 per month, or 3.4 percent of the average household income.
Angela Monaghan is the Economics Correspondent at the Telegraph. Read her original article here.