Britons are preparing for a financial storm by saving 32 per cent of their
disposable income, according to findings from Alliance & Leicester's new
wealth tracker index.
A&L asked a sample of 2,000 to detail their level of disposable income and
how much of this is saved, spent or invested to reveal the average Briton
aims to save £93 this month.
Despite many people paying for holidays abroad this month, three out of
four say they will be putting money away for a rainy day, which the lender
believes could be evidence that fears of a recession are rising.
The wealth tracker index also revealed that on average peoples' disposable
income after household bills, mortgages and borrowings is£287 and
individuals intend to save £93, or 32 per cent of monthly income, and
invest £24 or 8 per cent.
But the index also shows Britons tend to borrow more than twice what they
will invest this month at £56 compared to £24.
Spokesman Simon Ripton says: “Despite low interest rates, there are a
large number of people putting money aside, which may suggest that fears of
a UK slowdown are rising. But there are lots of people saving money, which
could work harder for them if it was invested as part of a more balanced
savings and investment portfolio.”