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Research expert covering construction, loans, leasing, savings, and debt
Personal savings in the United Kingdom - statistics & facts
Savings represent that part of the disposable income that is not spent on goods and services but rather set aside for the future. Saving is crucial to building financial security and independence. Attitudes towards saving, however, depend on factors such as a country’s economic development, employment rate, welfare conditions, consumer confidence, and tax rates. The savings rate in the United Kingdom (UK) is expected to remain between eight and ten percent in the coming years.
Savings instruments
There are several instruments for those deciding to save their money instead of investing it. In the UK, people can pick among different financial products which offer favorable conditions and higher interest rates compared to traditional bank accounts. The conditions of these instruments make them quite different from each other, and a potential user might have to discern which is a better fit for them. Some savings products are oriented to a specific objective, such as retirement, while in some types of account the consumer will not have access to their money during at least an initial period. If they need to have access to their savings, an easy access deposit, also known as sight deposit, might be the best option.Building societies in the UK
Savings accounts are some of the most widespread instruments in the UK. Although banks are the type of financial institution with the most assets as of 2023, they are not the only choice for opening an account. For instance, building societies, which are cooperative organization, meaning that it is owned by its members, are also a popular option for mortgages and savings products. The Yorkshire, Coventry, Skipton, and Nationwide Building Societies are some of the largest ones. Alone the savings market share of Nationwide amounted to 9.6 percent in 2023, making it the largest building society in the UK.
