Some 22 per cent of UK adults have no savings to fall back on.
This is the shock finding from research by Santander, which also found the average monthly deposit has fallen by seven per cent in the past 12 months.
It means consumers are typically putting £105 aside every month, down on the figure of £112 one year ago.
Matt Hall, Head of Savings at Santander, observed the findings are in-line with expectations as people continue to face budgetary pressures as living costs creep upwards.
"Our real concern is for people who have no money set aside in savings accounts and for those who have stopped making monthly deposits. We'd urge these people to review their spending thoroughly," he added.
Mr Hall continued by saying individuals should be looking to make cutbacks wherever possible in an effort to create a rainy day fund in case of unforeseen circumstances.
However, one silver lining was that 23 per cent of people are planning to increase their savings in the next few months.