Britons are struggling with the management of their finances, with many facing possible debt to lenders.
This is according to a survey by the Financial Services Authority (FSA), which revealed that three per cent of UK parents are experiencing this and are often unsure of how bills will be met.
Commenting on these statistics, founder of Moneymagpie.com Jasmine Birtles noted that it is essential for households to implement budgets but families should concentrate on paying off their debts before doing so.
“That’s really, really important,” she said. “If they have got credit card debt, then that should be their first focus.”
Ms Birtles went on to suggest that the next step should be to begin saving, so there is a safety net that can last three months of paying bills, should circumstances demand it.
The FSA study also indicated that 16 per cent of mothers and fathers have had money trouble in the last year.
By Sarah Adie