4 October 2011

Around half Brits have less than £1,000 in savings

New figures reveal the dreadful reality of the state of household finances for many British families. Research discovered who the best and worst savers within t

New figures reveal the dreadful reality of the state of household finances for many British families. Amongst other data, research discovered who the best and worst savers within the UK are and that one in four Brits over 55 has ****no available savings**** at all.

In terms of savings, Wales and Scotland are poles apart. A recent study by the Norwich and Peterborough Building Society (N&P) shows that Cardiff is the British city with the highest amount of people who possess no savings at all. Edinburgh is, in contrast, the city with the highest number of savers.

In the Welsh capital, almost half (46%) of the people have no savings at all and a further 58% had less than £1,000 available in their savings account. Conversely, a majority of 70% of people in Edinburgh have more than £1,000 in accessible savings and only 16% of them have no savings, which is half the UK average.

A nation of non savers

The research reveals that 31% of Brits have no accessible savings at all and that half of people (48%) have no savings or less than £1,000 in accessible savings.

Further data also shows that 23% of those aged 55 or over have no accessible savings. Younger Brits are not in a better situation with six in ten (60%) of those aged 16 to 24 year olds having less than £1,000 saved.

Regarding gender trends, data shows that women save less than men. While 27% of men have no savings at all, 35% of females are in the same situation.

"The common philosophy is that people should try to keep the equivalent of at least a few months' salary in an accessible savings account in case of emergencies,” said Gary Lacey, Savings Product Manager at N&P.

Comparing savings accounts is vital to make the most of your money when trying to keep some pounds aside for a future project or a rainy day.