Almost five million Britons spent more than they earn in 2007.

According to figures from uSwitch.com, 4.8 million adults, almost one in twelve of the UK, spent more than they earned last year.

Calculations based on Office of National Statistics data shows the average Brit spends £1,229 on essential items, a shocking £865 on non-essential items and £356 on debt repayments a month against a net income of £2,607.

Ann Robinson, director of consumer policy at uSwitch.com, says: “Britain is suffering from a bad case of affluenza. We are caught in the grip of a spiral of conspicuous consumption where it’s no longer enough to keep up with the Joneses, but instead we want to live like our favourite celebrities.

“But it’s clear that our salaries can’t keep up with our lifestyles. With the credit crunch beginning to bite, consumers need to start paying serious attention to their spending habits.”

Nine million just broke even, and on average UK consumers had just £157 left at the end of every month.

The rise in debt repayments since 1997 of 104% is more than double the rise in income - and individual monthly debt repayments have doubled from an average of £174 per person in 1997 to £356 in 2007.

Worryingly, 5.7 million Brits use this debt to fund their spending as almost one in three have nothing left in their bank account at the end of the month.

Tim Moss, head of loans and debt at moneysupermarket.com, echoed these concerns recently. He says: “Debt has become the common curse of modern times. People need to be careful that the ease of getting credit doesn't catch them out. It can soon spiral into a debt sentence. “Forty years ago, being in the red was a last resort. It seems many of today’s Brits are much more accustomed to taking on debt – although being able to control it is quite another thing.”

Spending on non-essentials has climbed 65% this decade - tourism spending has doubled, and consumers now spend an average of £1,068 a year on holidays. Brits spend £252 a month on entertainment and they also currently spend £80 a month fuelling their drinking and smoking habits.

uSwitch’s statistics show 12.8 million adults now owe more than £5,000 in non-mortgage household debt, and 11.9 million adults claim that their household debt has increased over the last 12 months alone.

People in Yorkshire have racked up the most debt by £7,484 per household. This is almost £1,000 more than the average London household debt and almost double the debt owed by residents in Northern Ireland.

Ann Robinson, Director of Consumer Policy at uSwitch.com, adds: “Now is the time for a financial makeover and for everyone to take a long hard look at their budget.

“Short-term debt solutions may seem an efficient way to fund spending, but they can also lead to long-term debt if not managed properly. But by managing expenses in a more efficient way remaining wages at the end of the month could be almost doubled.”