A leading children's charity has warned local authorities must invest in early intervention programmes for vulnerable residents while seeking to cut wider service costs, after new research suggested many families face 'financial meltdown' in Britain.

4Children responded to a dramatic survey by the Netmums website - which claimed that 70% of families are 'on the edge' as the triple whammy of rising unemployment and central and local government cuts takes hold across Britain - by issuing a stark reminder to councils of their responsibilities towards vulnerable groups such as the low paid and families already living below the poverty threshold.