Smokers who kicked the habit when the smoking ban came in three years ago could have built up almost £7,000 in a savings account by now, Santander has calculated.
If a smoker quit in 2007 and put the money they would have spent on cigarettes into a savings account instead, they could have amassed £6,883, based on the average smoker spending £180 a month on 20 cigarettes a day.
If they had used the money to pay off their mortgage faster, they could have knocked years off the term of their home loan and save on interest.
Santander has carried out the research to mark the third year anniversary of the smoking ban this week, when many people in England and Wales decided to quit.
Smokers could put their cigarette money to much better use, says Santander, and "reap the benefits from a much more rewarding habit" – saving.
For example, the Santander fixed rate monthly saver, paying four per cent for a year, could bring rewards of £2,394.60 over three years.
First time buyers could use this money towards a deposit, or existing homeowners could repay £6 a day extra off their mortgage, reducing the term by seven years and saving more than £21,333 in interest over a 25 year term.
Commenting on the figures, Matt Hall, head of Santander savings accounts, said: "The simple truth is by giving up today smokers will not only improve their health but their bank balance.
"And for those who have already kicked their habit, the money they've saved could be building up their savings for the future or knocking years off their mortgage!"
© Fair Investment Company Ltd