Nearly 40% of Brits cannot afford to save any money, according to a survey by Lloyds Bank.
Despite the upturn in the economy, people are still struggling to put cash away and 34% of those that are able to have less than one month's income in their savings pot.
Some 24% admitted they will save less or stop saving at all over the next 12 months.
Despite the lack of savings, the survey found that Brits realise how important they are - some 86% of people agree that it's vital to have a savings pot to cover any unexpected costs.
However, only 52% think they have enough money to pay for the unexpected or a significant chance in circumstance.
Across the UK only a quarter of people said they were able to save regularly throughout the year. Those living in Greater London were most likely to do so, while residents of the North East were least likely.
Andy Bickers, savings director at Lloyds Bank, said: "Despite widespread news about the economy improving, four in 10 still aren't saving each month.
"This shows there is still some way to go for confidence in the economy to filter down to the man on the street. Attitudes to saving are still positive though, and if people are able to get in the habit of just putting away a small amount each month, this can be increased as circumstances improve."