27 August 2014
How Much Does the Average Person Save a Month in the UK?
Whether we admit it or not, most of us are curious about other people’s financial situations – it gives us a chance to see how well we’re doing by comparison. That’s why this recent research into Britons’ savings habits is so interesting – it’s a chance to find out how you compare to the average saver…
Things seem to be looking up for savers at last – people across the UK have been squirreling away more of their income since last summer, despite continuing pressure on household budgets.
In fact, according to figures from the NS&I, savings are up by 20% compared with a year ago. But since that doesn’t actually mean a great deal to most of us, let’s take a look at the key facts so you can see how your savings habits size up:
- Average saved every month: £105.43 (or 8.21% of monthly income)
- This means we’re saving an extra £17.62 per month compared with spring last year
- Emergency funds: more than half of us think we’ve got enough money in savings to cope with the unexpected
- On the other hand, 30% of us don’t think we have enough put aside for emergencies
- A quarter of savers are putting money aside towards a specific goal. The most common reasons are: holidays and special occasions (40%), home deposits and improvements (35%), emergency funds (28%), retirement (21%) and a car (20%).
- On average, men save more than women (£121.54 compared with £89.81).
- But women are saving a higher proportion of their monthly income (8.59% vs 8.04%) – underlining the fact that women on average earn less than men!
Overall, with more going into savings this year than in 2013, it’s a positive picture, which is what we like to see! And no matter how little you can afford to put away, or how late you start, it’s good to get into the savings habit.
2015 update
How time flies! If you’d like to see how the average savings habits compare in 2015, click here.
This blog is intended to provide information, not financial advice, to help you make an informed decision about savings and investments. We do not offer financial advice. You should contact a financial adviser, who may charge a fee, if you want financial advice.
Source: NS&I Quarterly Savings Survey, conducted by TNS, surveyed 2,427 British adults aged 16+ between 6 and 12 May 2014.