The banking services and mortgage provider has published the results of research suggesting that more than six in ten people struggle to make ends meet on a monthly basis. As many as 64 per cent of respondents to the firm's survey stated that they are forced to make sacrifices in the lead up to payday as they run out of funds in their current accounts. With such strains on their finances as mortgage repayments, mobile phone and landline bills, utility bills and other demands to meet, the average current account is empty around five days before paycheques replenish them.



And at this time of year, still higher numbers are likely to need to make monetary sacrifices to see themselves through the Christmas period. Abbey calculates that, with most workers being paid on the last day of the month, funds in November are likely to reach zero on the 25th. However, it adds that better money management - such as taking out a debt consolidation loan and working out a budget - could help to regulate financial flow to prevent such periods of shortage.

The company says that different consumers aim to cut down their spending in different ways. While the largest proportion (43 per cent) say that they will socialise less at the end of the month, 17 per cent say that they will cut down on clothes outlay, six per cent compromise on cosmetics and three per cent prefer to go hungry over limiting other spending.

Meanwhile, when current accounts run low 31 per cent of people look to their overdraft for extra funds, 25 per cent spend on credit cards and the same proportion dip into savings. Consumers choosing to pursue any of these options might find that personal loans are a more cost-effective and manageable way of seeing them through to the end of the month.

Steve Shore, head of banking at Abbey, comments: "A staggeringly high number of people regularly fail to budget effectively each month and end up running out of cash before their next pay cheque. With Christmas almost upon us, it's especially important that people budget carefully during December's party season to ensure they don't run out of cash."

The company's research finds that different geographical areas and different ages vary in their approaches to planning their debts. It states that "unsurprisingly" it is the 18 to 24-year old demographic that are least able to control their spending, while regionally residents in the north struggle more to make their money last.

In recent months, personal finance commentator AWD Chase De Vere suggested that Britons should take more care in dealing with their debts if they hope to avoid financial strife. A spokesperson asserted that many people only confront their debt when getting into significant straits, while those electing to investigate a debt consolidation loan earlier in the process might be better set to address their difficulties.