Millions eating into savings - Axa

Only the wealthiest fifth of the country - those bringing in over £70,000 a year - have avoided spending beyond their means, according to Axa’s analysis of ONS savings ratio figures. It suggests those whose earnings are in the lowest 20% - typically less than 12,420 a year after taxes and benefit contributions - are hardest hit. Families usually rely on benefits to supplement their annual income and had a savings ratio of -7.4% in Q1 2008 and of -5.9% in Q2 this year, says Axa. Households in the second wealthiest income bracket (£35,000 to £52,000) also failed to generate a positive savin...