More than half of households do not have the minimum recommended emergency fund

Around 5.5 million people (13 per cent of the adult population) have no money set aside as an emergency or ‘rainy case’ fund, and a third only have £200 saved.

Up to 53 per cent of households do not have the minimum recommended savings to deal with unexpected costs such as boiler breakdowns or home repairs, according to data from heating installation company Boxt.

It is recommended that an emergency fund be equal to at least three months of take-home pay, and many experts recommend the equivalent of six months of salary. Based on the average UK salary of £34,963, this would equate to around £7,000.

Despite this, the average emergency fund in September was just £1,983, representing just 28 per cent of the recommended minimum wage for the average wage earner.

Among younger homeowners aged 25 to 34, almost a quarter said they have less than £50 to fall back on.

While those aged between 50 and 60 are found to be safer, the average emergency fund was just £2,481, still well below the recommendation.

Similarly, those in the East Midlands have the highest average savings pot at £2,381, compared to an average of just £1,474 in the North East of England.

About 26 percent of people in the northeast said they did not have any money set aside.

Ryan Gill, principal engineer at Boxt, said: “In these difficult times, we know that saving for a rainy day is harder than ever.” Rising costs and daily pressures make it difficult for many to let go of something. But without a little cushion, unexpected expenses, like repairs or a sudden bill, can quickly become overwhelming.’

Failure to set aside money for emergency costs could leave people ill-prepared to cover essential boiler and appliance repairs or replacements this winter.

However, 36 per cent of Brits said they are not aware they should save at least three months’ wages, as the average household overspent £360 over the summer and dipped into their savings to do so.

Still, 41 percent of homeowners said they are taking, or plan to take, steps to make sure they can handle unexpected costs, such as increasing the amount they save each month.

Women are on the defensive

Almost a third of women save less than £100 a month, data from Schroders Personal Wealth reveals, compared to just 15 per cent of men who save the same amount.

Similarly, just 10 per cent of women said they managed to save more than £700 a month, compared to 19 per cent of men.

Government data shows that women earn on average 7.7 percent less than men. However, this gap extends beyond income, which in turn prevents women from saving and investing to the same extent as their male counterparts.

Added to this, more than half said their main barrier to investing was a lack of extra money, with just 26 per cent of women investing through stocks and shares Isa compared to 45 per cent of men.

Only 40 percent of women are confident that their pension will be enough, compared to 59 percent of men.

Katie Nutting, director of financial planning at Schroders Personal Wealth, said: “Tackling gender financial disparities requires systemic change, but individual actions can help.” From small but consistent savings to investment options, there are practical ways that aim to improve women’s financial security, even in times of uncertainty.’