According to the Abbey report, only 31 per cent of people claim they never run out of money each month, while 54 per cent adopt a monthly debt management plan to ensure they never get strapped for cash.
In addition, 15 per cent of people stated that they were borrowing more on their overdraft than two years ago, although 25 per cent believed they were borrowing less.
However, most of those with an overdraft showed signs of good debt management as 60 per cent said that they are trying to clear this debt.
Steve Shore, Abbey’s head of banking, said: “It is clear that modern British society is more confident about managing its finances.
“While it’s encouraging to see more and more people taking charge of their finances, many of us could do more,” he added, saying that people could benefit from switching to a bank account with better debt management opportunities.