Go compare with our comparison table

Savings accounts to receive £59.5billion boost

16 September 2009 / by Andy Davies

New research from Abbey Savings has revealed that the average saver has increased the amount they put away each month by 26 per cent since the start of this year.

Brits are now saving on average £206 a month, an increase of £43 since January, with 65 per cent of people using an instant access savings account, as savers look set to bank £59.5billion this year based on average savings rates.

Reza Attar-Zadeh, director of savings and investments at Abbey, has welcomed this news, she said: "At a time when it's never been more important to put money away for a rainy day, it's encouraging that the amount being set aside by savers each month has risen by more than a quarter."

However, despite the fact that more money is being saved, the overall number of people saving since the beginning of the year has fallen by six per cent.

The findings suggest that four out of ten Brits are not saving at all, while around a quarter of people admitted to saving less now than they were last year, which Abbey say could be a result of rising unemployment.

But Ms Attar-Zadeh urges those that are not currently saving to reconsider, as even a small deposit could make a difference, she said: "It's not too late for those Britons who haven't yet kick started their savings habit to make a start - putting aside even a small amount each month will quickly add up to help provide them with a safety net in today's difficult economic climate.

"Opening a cash ISA offers savers one way of achieving this through a tax-free rate of interest to help make their money go further."      

Compare savings accounts»

© Fair Investment Company Ltd