Credit reference service Call Credit has suggested that many UK consumers’ savings would not last them more than one month if they became solely reliant on them.

For 40 per cent of the working population, savings would run dry within this time period if their income was cut off.

A further 25 per cent of people have reduced their levels of saving in recent months in order to meet the costs of inflated monthly outgoings.

One in ten people were said to have dipped into savings to meet the costs of living expenses as the credit crunch and energy price hikes hit home.

"These findings are a stark illustration of how the credit crunch is already affecting consumers, it’s clear that the rising cost of everyday living is having an immediate impact on our ability to save," said Owen Roberts, head of Callcredit Check.

For those struggling with debt, the group advised consumers to seek independent financial advice to help plan the best course of action.

Elsewhere, the Thrifty Scot has recently identified individual voluntary arrangements (IVAs) as an effective tool for those who cannot meet the costs of outgoings and debt repayment commitments.