Third of adults saved nothing in 2006

Up to 12 million people in Britain failed to save a single penny this year, a new report claimed today.

Nearly one in three adults admitted to not setting aside any rainy day cash during the year, while a further fifth said they had not saved as much as planned, research from Alliance & Leicester found.

Of those who had managed to accrue savings, 42% could not resist dipping into the piggy bank at some point.

A survey of non-savers revealed that 74% believed they could not afford to set aside any money during 2006, while 20% said they did not need savings.

Around 6% were found to have a "live for today" attitude and preferred to spend rather than save hard-earned cash.

But with the New Year comes fresh enthusiasm for saving, research found.

More than 80% of those questioned said they had earmarked 2007 as the year to sort out their money and start saving.

But around half said they would put money aside as and when they could afford it, rather than commit to regular saving.

Helen Palmer, head of current accounts at Alliance & Leicester, said: "Despite ambitious plans for the year ahead, unless people commit to saving a set amount on a monthly basis, it is highly unlikely that they will get round to saving any money at all."