33% of UK adults feel they aren’t saving enough for their long-term needs according to research published by Scottish Widows. This figure increases to 44% for 35-49 year olds.
The 2014 Savings Report is based on an independent survey of over 5,000 people and explores the nation’s attitudes to savings. It shows that:
- One person in five in the UK has no savings to fall back. This is the highest proportion seen since 2009 when the Bank of England reduced interest rates to its current ultra-low levels. This equates to nine million people having no money put aside and has increased.
- Another 10% has less than £500 put aside and a third of us haven’t managed to save anything in the last 12 months.
- Debt is the main reason for people’s failure to save with 32% of 35-49 year olds saying they would be encouraged to save more if it weren’t for their credit obligations – far higher than the 24% of 18-34 year olds and the 17% of those who are 50 and over.
- 41% of those surveyed had loaned a “substantial” amount to a family member, with the money often going towards helping their relative with living expenses, paying off their debt or going towards a house deposit.
- 33% of us are saving proportionately more than we were two years ago but more than half are actually saving less.