Are you within the 10%?
The UK's savings problem
The UK really does have a problem to solve with how we’re handling our spare cash. 10% of us have literally no savings at all socked away, and over 30% have only managed to scrape together under £600 in total. A survey from 2020 showed that the average Brit had around £6,757 saved, while 2 in 5 couldn’t survive on their savings for a single month if they needed to - and honestly, that’s a pretty serious concern.
It turns out there’s an age factor that comes into play here, and it makes sense. The older you are, the more time you’ve had to pile up some spare cash. Baby boomers (people born from 1946-1964), for example, are at the top of the savings heap with an average stash of £9,758.54. Right up there with them are the so-called “silent generation” (born between 1928 and 1945), sitting on an average of £9,497.96 in savings. Meanwhile, down at the other end of the scale, we find Generation Z (born since 1996), who’ve only managed to scramble together an average of £2,530.71 so far.
Just from the raw numbers we’re seeing here, if you’ve successfully saved anything at all by the time you hit 21 it looks like you’re already ahead of the game. Of course, a lot depends on your personal situation, as a 21 year-old university leaver’s finances are likely to look very different from those of someone who went to work straight out of school. Either way, it’s clear that the earlier you start to save, the better your long-term money outlook will be.