New insights on how the nation is saving.
Let's start with a snapshot of the UK.
Below, our Index shows different cities and their approaches to savings.
It paints an interesting picture of what different cities prioritise. We can see that residents of Portsmouth place the most importance on savings. Worcester is a city of disciplined savers who never or rarely dip into their saving pot. And when it comes to understanding different money saving methods, Aberdonians rate themselves the highest. Though the people of York can give them a run for their money in a close second place.
But overall, Belfast gives itself the highest marks of all the UK cities surveyed when it comes to healthy savings habits, followed by Birmingham.
The average score across the UK stands at 53.8%. Take a look at how your city fared below.
How did we create our Index?
We looked at average annual savings as a percentage of income in each city we surveyed.
We also dug into savings habits by city – taking an average percentage of how people responded to the following questions:
- How often do you put money into savings?
- How important or unimportant do you think saving money is for your financial goals?
- How would you rate your understanding of the different ways to save money?
- Do you set a budget for yourself?
- Do you have a monthly or yearly savings goal?
- How often do you dip into your savings?
How did different regions perform in our Index?
The regional and national picture
At a glance:
- On average, people in London save the most money each month (£239)
- People in the East of England have the highest average in their emergency fund - £5,006
- Only 28% of people in Yorkshire would give up clothes/fashion to increase their savings, compared to 39% in London
- 21% of people in London are trying to save for a house deposit – nationally, the average is 14%.
The impact of income
At a glance:
- 44% of those earning £60k a year save more than £500 a month.
- 47% of those earning £60k feel negatively impacted by their savings.
- 47% of people who earn less than £10k don’t have an emergency fund.
The big picture
UK savings habits at a glance:
- Go-to gurus. People are more likely to get advice from Martin Lewis, rather than banks or other sources, like family or friends.
- Getaways, screens and sun creams. As a nation, we’re least likely to give up holidays/leisure (27%), streaming subscriptions (27%) and cosmetics (18%).
- Is eating out, out? 42% would give up eating out to save more.
- Savings are taking their toll. 22% of respondents said their savings balance affects their mental health.
18-34s: Looking to influencers and breaking taboos
At a glance:
- 23% of under-24s say they have no emergency fund
- 28% of under-34s discuss their finances with friends
- 21% of 18-24s say poor mental health impacts their ability to save
- 17% of 18-24s turn to social media for savings advice.
35-54s: Does growing up mean saving more?
At a glance:
- 24% of 35-44 year-olds save £200-£500 a month
- 13% of 35-44s save more than £500
- 12% of 35-44s save only £1-£49 a month
- 13% don’t have an emergency fund
- 12% don’t have savings at all.
55+: Secure savers, still open to advice
At a glance:
- 55-64s have an average emergency fund of £6,107
- Over 65s have an average of £6,476 for emergencies
- Over 55s have the highest understanding of savings methods
- 32% of 55-64s look to Martin Lewis for savings advice
- 49% of 55-64s and 34% of 65+ are primarily saving for retirement.
Start your savings journey
It’s been a tricky few years for the economy – but solid savings practices can help you find light at the end of the tunnel. And from Portsmouth to Aberdeen, people are laying the foundations for a more secure future and a happier life.
If you want to learn more about savings, we’ve got a great set of resources to help. Check out our helpful links below.