Teapig you'll manage :) DS was a total surprise! I had no savings, was on a temp contract and DP had to quit his business and move countries to be with me and bump, so effectively made himself unemployed!
We coped. Babies need much less that you're led to believe. You'll be heavily marketed at now you're up duffed! And it's lovely to go out and buy lots of stuff for the baby if you have the time and money. But in reality a lot of it is not really necessary. They don't even actually need a room for ages! (We were living in a 1 bed flat until DS was 1yo. And even after we did move, he didn't actually move into his own room till he was over 18 months).
A cot, sling, car seat, moses basket and basic changing mat are my absolute essentials. And ideally a buggy but I could even do without at first if I had a good wrap-around sling. That's just my list - others may disagree! :)
A baby bath is nice, but you can just as easily was them in a tub in the sink when they're little (I'm not joking!)
You can get this kind of stuff ahead of time and spread the cost. We're pretty skint this time round too as both full-time students atm, so it'll all be coming from ebay except the car seat - unless some lovely relatives get us baby related christmas presents! 
Then the "running costs" if a young baby are pretty low, especially if you are able to BF. Nappies are the biggest expense IIRC. If you're really trying to save money you can use cloth nappies, I meant to last time but never quite got round to it 
. You can get babygros fairly cheaply. Pretty outfits can be expensive, but if you've got a keen eye for a bargain you needn't forgo that pleasure - stock up ahead of time when you see something you like in TKMax or sales.
We'll have the baby in with us until s/he is at least one, and we'll continue to rent the 3rd bedroom to our current (lovely) lodger until at least then, so that'll help too.