New research has shown that millions of UK householders are not putting enough money aside to cover an unexpected financial emergency.

Figures from Birmingham Midshires' Saving Britain campaign show that the vast majority of Britons are experiencing increasing financial pressure, which is exposing them to a number of potential financial emergencies that cannot be predicted or controlled.

The YouGov poll asked 2,000 people which potential financial emergencies or surprise costs they would be able to afford should the situation arise. It found that 73% of respondents could not afford to support their families if they were made redundant, compared with 80% in February last year.

As the cost of living increases and the financial squeeze takes its toll on everyday living, 68% of those questioned admitted they could not afford a sudden spike in non-mortgage household bills.

And a massive 93% of respondents said they could not afford to care for an elderly relative if they were unexpectedly required to do so.

Faced with debts being called in, 73% said they would face financial difficulty - and those in the South would fare the worst, with 79% being unable to survive financially. Conversely, Londoners fared the best, with 31% claiming they would be able to afford to service their debts if the need arises.

Typical of the spendthrift generation, older Britons are most likely to be able to afford to pay off their debts - with one in three (32%) claiming they could cover this financial emergency should it arise.

Tim Hague, head of savings and investments at Birmingham Midshires, commented: "Compared with last year's findings, it seems Britons are still not preparing themselves for financial emergencies.

"While none of us like to think about some of the emergencies our research has tackled, in the current economic climate, it is even more important to have a financial buffer in place in order to cope with the unexpected.

"We recommend people have at least three months salary set aside for a "rainy day" and it's crucial that people take a proactive approach to their savings and hunt around for the account that best meets their requirements."

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