7 million 'spend more than they earn'

Some 13 million adults have an unaffordable lifestyle that could put them into serious debt, according to new research.

Bright Grey has found that the average adult in the UK needs to earn more than a quarter (27 per cent) above the average income to maintain their current lifestyle.

This amounts to around £1,706 per month for both men and women.

However, the shortfall is exacerbated by earning differences between the sexes.

Women want to earn £417 more than they do on average (£1,222), in contrast to men who would like to have at least £311 more to top an average income of £1,568.

Just under half of this group (seven million) know they are spending beyond their means, though five million do not realise.

Of those who were aware of their extravagant habits, almost a third of people (29 per cent) said their spending put a strain on necessary household outgoings such as bills.

In addition, just under one in ten (eight per cent) surveyed admitted that they had got their household finances into debt because of their lifestyle spending.

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Published on: November 11, 2010

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