Wednesday 23 February 2000
The M&G Great British Saving Survey
- Nearly 25 million adults (54%) have less than £500 in savings
- More than one in three (37%) adults say that they 'live for the day'
- And two-thirds (68%) buy lottery tickets each week according to Camelot
Over half (54%) of the adult population has little or no savings according to new research revealed in The M&G Great British Savings Survey. With more than one in three (37%) of us saying we "live for the day and save the minimum possible in order to finance our standard of living."
The study, undertaken by MORI Financial Services on behalf of M&G, is one of the most comprehensive insights into the motivation and attitudes behind saving habits in Great Britain. It reveals a savings apathy that is endemic of the whole adult population and not confined to a particular age group, sex or even social grouping. In fact over half of those aged over 55 do not have a saving strategy in place.
The findings show that when it comes to saving the nation is divided by its attitude; with those that prefer to live for the day - The Saving Shirkers, those that save as much as they can - The Savvy Savers and those who just can't afford to save - The Saving Shortfallers.
One in four (23%), adults don't wait and save up to buy something expensive, but confess to not being able to wait and take out a loan instead. Figures from Camelot show that more people are likely to play the lottery (68% of the population) than start saving.
M&G's Jeffrey Mushens, commented: "It is startling that there are so many people who are not willing to think about their financial future and would rather put their faith in the lottery."
"At M&G we want to understand what makes people tick when it comes to saving. Everyone should think about saving in the same way as eating healthier or keeping in shape - financial fitness is good for you and will pay off in the long term." he continued.
Other key findings include:
- 23% of adults say that they would take out a loan rather than save for something
- 56% of those nearing retirement wish they had started saving earlier
- 38% of savers cite retirement planning as their single biggest motivator for saving
- 77% of savers are self motivated
Technical details
Research was conducted by MORI Financial Services among a representative sample across Great Britain over a six-month period. The MORI Financial Services Savings Report June-December 1999 was used as a background to the whole survey. For the M&G Omnibus survey 1,938 interviews were conducted. In addition qualitative research was completed using 8 group discussions and 8 in-depth interviews among couples. All samples are representative of all adults in Great Britain aged 16+.