UK savings raided to make ends meet
UK savings raided to make ends meet
Wednesday 12th November 2008
Britons are cutting the amount they save, but they are yet to raid their savings.The amount people put to one side was down 34 per cent to £339 in the three months to October 2008.
However, the amount people are withdrawing from their accounts was down – research from Birmingham Midshires.
Brits raided just £343 from their savings in the three months to October 2008, compared with £434 over the previous three months.
Tim Hague, director of savings at Birmingham Midshires, said: " Britons are taking a responsible attitude to saving in a difficult market climate.
"While there is clearly pressure on disposable income, people are trying to preserve the buffer of a savings pot. Making deposits where possible and having existing savings remain critical in the months ahead."
However, those dropping into their savings were doing so to make ends meet – rather than to splash out on any luxuries.
The most common reasons for raiding savings were to pay for emergency home or car repairs (26 per cent) and overspending on a current account (19 per cent).
There was also a doubling in the number of people hitting savings to cover the loss of a job and a 23 per cent rise in the number of people raiding savings accounts to cover energy bills.
Related News
High street faces worst sales in three years - 11/11/08
The UK high street faced the worst sales in October for three years
The UK high street faced the worst sales in October for three years
Mandelson sees new role for "reassuring" Post Office - 11/11/08
A leaked letter has revealed the government may be reconsidering its plans for the Post Office
A leaked letter has revealed the government may be reconsidering its plans for the Post Office
FTSE 100 down on opening - 11/11/08
The FTSE 100 was down this morning after drops overnight in Asia and New York
The FTSE 100 was down this morning after drops overnight in Asia and New York
News Article Search
Quick Apply
News Archive