New research has revealed we are a nation of over-spenders, with Brits unwilling to give up certain aspects of their lifestyle even if this entails living beyond our means.
A study of 2,000 UK adults commissioned by Aviva found that 48% don’t always make the effort to live within their means – and one in ten often rely on credit cards and overdrafts to make ends meet each month.
The internet took the number one spot on the list of things Brits would steadfastly refuse to give up (35%), even if they can’t afford it.
Mobile phones took second place (25%), followed by an annual holiday (23%), running a car or motorbike and tucking into a takeaway or meal out.
A night out with friends, Sky TV subscription, paying into a pension pot, haircuts and colours and paying for life insurance accounted for the remainder of the top ten.
Of those who admit to overspending, 40% put it down to not earning enough to cover their daily costs. However 21% said they couldn’t resist buying things while one in ten want to appear as though they have more money than they actually do.
Other reasons respondents cited for living beyond their means included getting accustomed to living on a reduced salary and losing jobs.
Those who overspend do so by an average of almost £150 a month, with 42% of people admitting to viewing their credit cards and overdrafts as an extension of their bank balance.
Tim Orton, Product Director for Aviva UK Pension & Investments said: “It has been a tough few years for people financially. Money has been tight, but worryingly, rather than cutting back, it seems there are some who are continuing to live way beyond their means.”
On top of this, Brits are failing to put money aside into savings or pension pots because they are out of cash or in the red at the end of the month.