Savings balances hit by hols

18 August 2006
Many of the balances of savings accounts across the UK have taken a hit recently, according to the findings of Birmingham Midshires.

The HBOS-owned company asserts that over a quarter (29 per cent) of Britons with savings accounts raided them, at least in part, to fund some kind of holiday or break in the last three months.

Holidays and weekend breaks ranked as the number one reason for savers to scoop some money from their security funds, although unexpected utility and household bills also ranked highly (22 per cent).

"We have been tracking savings habits for a number of years with our Saving Britain study and over time we've seen that the savings message is getting through," said Jason Robinson, director of savings operations for Birmingham Midshires.

"People are clearly making the effort to save; the hard part, however, is leaving the funds in savings and not spending them.

"This comes from planning and commitment and we always encourage savers to try and be realistic in what they put away," Mr Robinson added.

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