Saving Seriously Starts At 30 For 22% of Brits
01 March 2010 / by Andy Davies
One in five Brits do not start saving seriously until after they turn 30, according to research by National Savings & Investments (NS&I).
It has found that while the average age to start saving is 25 for most Brits, 22 per cent of the population do not start putting money aside until after their 30th birthday, whilst a further 13 per cent fail to save in earnest until after they are 40.
Meanwhile, 15 per cent confessed that they have never actually saved any of their earnings.
However, of those who have been saving seriously, NS&I has found that a third decided to do so after being encouraged by reading other stories about people without savings suffering in an emergency.
In addition, 31 per cent said they began saving when they personally suffered an unexpected financial expense, and 39 per cent stated peace of mind was the key reason after they saw their parents worrying about money.
Welcoming the findings, John Prout, NS&I’s savings spokesperson said: “It’s great to see that most Britons started to save seriously in their mid-twenties. And for those who have not yet developed the habit it is not too late to start.”
Additional research by NS&I has revealed 32 per cent of Brits wished they had started saving much earlier in life than they did, while a quarter wished that they had saved more in the past 18 months to have been better prepared to deal with the recession.
However, Mr Prout claims people should not just start saving as a reaction to major events. “Our research shows that 32 per cent of savers say that they have saved in the past but have not managed to continue putting money away,” he said.
As the end of the tax year approaches, NS&I is encouraging people to “take a fresh look at their finances and learn from their past regrets”. Mr Prout added:
“We’re urging Britons to review their future financial needs and to develop the habit of saving.”
© Fair Investment Company Ltd