PEOPLE in the North-East are losing £82m a year due to poor maths calculations, according to a report - but the residents of North Yorkshire are among the most canny.

On average, people in the North-East lost £42 last year because they struggle to check bills, calculate tips, or figure out the best deals for mobile phone tariffs.

But Yorkshire people lived up to their image of being careful with money, with the country's lowest average of £17.

Numeracy and literacy skills provider Learndirect has launched the ME-Q Index, which shows how much money Britons are losing year on year due to inadequate maths and English ability.

The amount of money squandered last year across the country amounts to £1.45bn, a significant increase on the £823m of the previous year's report.

The survey revealed that 31 per cent of people in the North-East find it difficult to work out what is the best value for money on electricity, gas and mobile phone tariffs.

It also shows that 13 per cent have overspent due to incorrectly calculating how much items cost, and 39 per cent use their fingers to add up.

Sally Coady, Learndirect spokeswoman, said: "This research demonstrates the effects of the skills gap in the UK very clearly with the huge financial cost.

"A lack of maths and English skills can really hit you in the pocket, but there is also a cost to people's confidence.

"Some people will go to great lengths to avoid using their maths and English and it can hold them back in many areas, from advancing their careers or helping their kids with homework.

"We are urging people to spend a few hours a week on improving their skills."

Newcastle and Sunderland were among 20 towns and cities surveyed.

In Sunderland, the total loss was said to be £16.8m, with an average of £57 per person - the third highest in the country and nearly twice the national average of £32.

In Newcastle, the overall figure was £8.2m, with each person estimated to have lost £29, the sixth highest in the UK, due to problems with maths and English.