Citizens Advice has said that about half of the people in the UK are finding it difficult to pay bills and will have to cut spending in order to pay bills over the next year.

According to a study by the consumer group, about 58 per cent of the people said that they are concerned over higher bills and said that it will affect their finances. About 53 per cent or 27 million people said that they will have to cut spending to cope with the higher bills. The study showed that 20 per cent of British households are struggling or falling behind with their bills and 32 per cent said that they are paying the bills but are struggling to meet expenses.

The report also showed that out of those planning to cut spending, about 59 per cent will have to cut expenditure on food, 37 per cent will look for ways to reduce their energy bills, 8 per cent will consider moving to a cheaper home. In the study, 66 per cent say they will have less to spend on time out.

Citizens Advice chief -executive Gillian Guy said, "We're keen to make sure people are not taking drastic action or paying a penny more than they have to for a warm home or to keep the lights on. Through Big Energy Saving Week, Citizens Advice is helping consumers to check, switch and insulate."