UK household finances improve in 2012 The Legal & General Moneymood survey also found that the number of households that claimed to be "surviving," with income covering bills and debt, had risen by 1.47m in January, compared with September when the survey was last carried out. "Perhaps the combined effect of lower inflation and the costs of utilities and food starting to fall is producing some green shoots of recovery in household finances," said Mark Gregory of L&G. Those households who fell into the "struggling" category said they were short by an average of £96 per month. The highest average monthly shortfall is £261 in London. The percentage of homes struggling to meet bills was much higher in the West Midlands and Scotland than in the rest of the country, "perhaps reflecting the impact of job losses in these regions," L&G said. On average those homes which had money to spare each month were putting away £93, equivalent to 3.4pc of average household income according to L&G. Households in the South saved almost double the national average, while those in the West Midlands, Yorkshire, North East, North West and Wales saved less.