The Government is eager for us to do it – but for many people, saving money is a luxury they can’t afford.

Tax-free savings were introduced to encourage people to put more money aside, but the impact of the recession has left many struggling to save for the future.

Pensions are important to enable us to enjoy life after decades of employment, and young people especially should be aware of the importance of striving to put cash into savings schemes, but the problem is that many are either struggling to get work after leaving school, college or university, or they’re in a job where they’re only just about making ends meet.

The Christmas celebrations have no doubt compounded people’s financial problems. Many of us are still counting the cost of our over-expenditur, so it comes as no surprise to learn that a third of Britons feel they can’t afford to save.

Research by Skipton Building Society has found that with post-Christmas debt hanging over the population, people could risk finding themselves in an even worse financial state.

The research found that one-in-four people have no savings at all. A quarter of those surveyed said they saved as much as they could afford to, but were still worried that the amount they were putting aside was not sufficient.

Specialist debt adviser Nisar Afsar, head of services at Bradford Community Advice and Debt Solutions, says “financial exclusion” prevents some people putting savings away for the future.

“In reality, many people living on low incomes face exclusion from not having access to financial services such as bank accounts, pension plans and normal loans,” explains Mr Afsar.

He says this leaves the more vulnerable seeking financial assistance from unregulated money lenders.

A six-monthly survey carried out by Bradford Community Advice and Debt Solutions involving service-users found one-in-six adults in Bradford didn’t have a current account and 71 per cent of households had no savings or investments.

Eighty-one per cent had no life insurance cover, and 59 per cent were not able to replace electrical appliances such as cookers and washing machines if they broke down.

Kulbir Bura, head of the children’s centre at Lidget Green Primary School, sees first-hand those families who are struggling to survive on a daily basis and whose financial situation is seriously affecting relationships and health.

“I think there is an element of providing more information around how to save, because when you are in that cycle of ‘I have not got enough’ you are not in a position to be sitting there thinking, ‘I need to look at this,” she says. “They are in such a bad place they don’t know how to think. It is day-to-day survival.”

She adds that people often have to tackle underlying issues such as health and relationships before they can begin to look at their finances, but once they do, they often see they can make savings, no matter how small, each month.

Simon Loveitt, chairman of the board of the Bradford District Credit Union, believes there are a number of reasons why people are struggling to save. He says some are less able to save regularly because of the increasing costs of living, and many are far more cautious due to the uncertainty caused by the economic climate.

“VAT has gone up and I think there are question marks over jobs as well. There’s a lot of uncertainty and people are a lot more cautious than they have been,” says Mr Loveitt.

Kris Brewster, head of products at Skipton Building Society, says: “We all know how difficult it is to put money aside at the moment. However, as we move into a new year, this is the ideal time to start reassessing your finances.

“If you are struggling, it can often help to speak to a friend or an adviser who can guide you through the money maze and help you reach a point where you can start to save effectively.”