The average British person has more than £12,000 in savings, but women have £3,000 less than men.
According to a survey of 2,000 adults, 79% would like to have a financial buffer, with 60% of savers willing to put away as much as they can right now “just in case.”
As a result, the average adult saves £306 per month – 15% of their wage – with 10% managing to save more than £1,000.
But only 16% of those who have savings are currently regularly adding to their account, and 7% of all respondents report being unable to save anything at all.
Those aged 25 to 34 saved the most, an average of roughly £490 per month, while those aged 65 and above saved the least.
And adults aged 65 and above are likely to have the most savings, to begin with – £17,189 average per person.
But 31 percent of people who love saving money never move their money to accounts with higher interest rates – despite the rising figures meaning they are missing out on extra cash.
The survey was commissioned by HSBC UK, which offers free financial health checks, webinars, and the chance to book a call with a financial well-being adviser for additional support to customers and non-customers alike.
“Despite the challenging economic environment, these results suggest Britain’s savers have developed some healthy savings habits,” said Pella Frost, head of everyday banking at HSBC UK.
It pays to be savvy if you enjoy saving money, and the pounds in people’s accounts might be working harder if they were smart with their banking or locked away for longer, she noted.
“The results do show a number of people currently have no savings at all or are struggling to put aside anything from month to month. We don’t underestimate the financial challenges many are currently facing and we’re here to help.”
According to the study, 80% of respondents consider themselves to be highly or very financially smart because they love saving money.
Half of savers put whatever extra money they have at the end of the month into savings rather than spending it, and 39% have cut back on indulgences to save money.
While 35% create a budget in order to save even a tiny amount each month.
The most prevalent motivation for saving money was to have a rainy day fund in advance of vacations and retirement.
However, the average adult believes that if they had a better system of saving money in place, they could save an extra £264 every month.
47 percent of respondents polled by OnePoll believe that greater education on saving money, investments, and interest rates is needed to help individuals make the most of their hard-earned money.
Only 44% believe they understand how interest rates work, and only 34% believe they know how to earn the best return on their money.
“It seems (that) many people are missing out on some cash by not being on top of what their savings are doing,” said Pella Frost of HSBC UK.
Saving money in your current account is convenient, but it can be a double-edged sword, increasing your proclivity to spend when you do not need to.
The importance of saving money is easy to understand: it allows you to live a more secure life. If you have money set up for emergencies, you have a safety net in case something unexpected happens. You may also be able to take risks or try new things if you have savings saved aside for discretionary spending.