Savers put more money away due to pandemic uncertainty, poll claims

One-quarter struggle due to pay cuts

(Getty)

Savers have been putting more money aside as the current economic crisis discourages spending.

A poll of 2,000 adults found one-third had put saved an average of £459 since lockdown began.

More than two-thirds of those (67 per cent) were saving more by putting away the money they would normally spend on eating out, while almost half had saved refunds from cancelled holidays and 43 per cent had saved the money they would have spent commuting to work.

As a result, three in 10 respondents said they were financially better off than before the Covid-19 pandemic, while 44 per cent had managed to maintain their level of wealth.

It also emerged spending habits had changed dramatically since the start of the lockdown, with the average adult £146 better off after cutting back on unnecessary things such as clothing, takeaway coffee, eating out and entertaining.

Maitham Mohsin, head of savings at Skipton Building Society, which commissioned the research said: “These are financially challenging times for many, so it is reassuring to see that some adults are able to set aside savings for a rainy day, to make the best use of their reduced savings.

“This pandemic is witnessing a change in attitudes to wealth, savings, and money – as people, are more than before understanding the real need to have a financial buffer for unforeseen eventualities such as furlough or job loss."

The survey also found people had seen their spending reduce on things like fuel, commuting and alcohol, which was helping them to save more than before.

However, it was also found that one-quarter of adults were worse off financially after the pandemic struck.

One in four have had to accept a pay-cut since the crisis began, and 14 per cent of those polled, via OnePoll, have taken either a loan or mortgage holiday, or both.

In particular, 43 per cent of adults like to have savings for unexpected or emergency payments, and 22 per cent like to put money aside for home improvements.

One-fifth of adults wanted a buffer in case they lost their job and 13 per cent wanted it there in case illness means they could not work for a while.

SWNS