The average British family now needs to bring home £24,600 a year just to break even, according to research commissioned by Skipton Financial Services.

This figure consists of mortgage or rent, utilities, insurance, food shopping and motoring, plus the cost of dressing the family, owning a mobile phone and landline, travelling to and from work and maintaining a property.

However the sum excludes any ‘luxuries’ whatsoever, such as takeaways, restaurant meals, night outs, weekends away or holidays.

Andrew Barker, managing director of Skipton Financial Services, said: “It’s frightening how everything adds up. The cost of living is astronomical and now more than ever people have to be on the ball with their expenditure and to keep on top of things