Majority of Britons are 'trend spenders', survey finds

Spenders can be split into eight categories of how they manage their money

Millennials are most likely to be ‘sensible sages’ – people who see no point in getting into debt unless they can pay it off in full every month (Reuters)

Britons are most likely to spend with their heart rather than their head, a survey has found.

A survey of more than 9,000 consumers revealed spenders can be split into eight “attitudinal segments”, with each group possessing unique attitudes and characteristics which inform how they manage their money.

“Trend spenders” emerged as the most prominent – those who are ruled by their heart when it comes to money and don’t feel worried about loosening the purse strings as long as they can maintain their lifestyle.

More people found themselves in this category than in “sensible sage” or “skilled savers,” which describe those who are more prudent when it comes to their spending.

Becky Moffat, head of personal banking and advance at HSBC UK, which carried out the research, said: “Britons are notoriously reluctant to talk about money and this can impact our financial behaviour.

“Forty-five per cent only check their main bank account once a week or less and one in 10 only check it once a month.

“We want to encourage Great Britain to start thinking about how their financial personality could affect how they manage their money, which is why we’ve released the Bank-Life Balance test.”

The survey also found London is home to a higher number of “driven achievers” than the national average.

These are people who spend time doing their research, allowing them to make savvy decisions, and are comfortable pushing their financial boundaries if they think there’s going to be a pay-off.

Meanwhile, millennials are most likely to be “sensible sages” – people who see no point in getting into debt unless they can pay it off in full every month.

HSBC UK released the test to coincide with the roll out of its Connected Money app, which lets customers see accounts from different banks on one screen.

Raman Bhatia, head of digital bank, HSBC UK said: “The test showed me that I am a ‘trend spender,’ so it really doesn’t surprise me that 55 per cent of people like me admit to making impulse purchases.

“As one of the UK’s biggest retail banks we have a responsibility to make banking simpler and easier. Bank-Life Balance is one way we are doing this in addition to Connected Money.

“The app provides a joined-up view of your financial life, no matter who you bank with, all in one place.

“Through all of these efforts we remain committed to helping help customers have a better relationship with their money.”

Full list of financial personalities

Trend spender (16 per cent)

Trend spenders are ruled by their heart so stretching their finances does not scare them as long as they can maintain their lifestyle.

Driven achiever (15 per cent)

Driven achievers know what they are doing when it comes to managing their money. They spend time doing their research, allowing them to make savvy decisions and are comfortable pushing their financial boundaries if they think there’s going to be a pay-off.

Sensible sage (15 per cent)

“Save now to spend later” is their motto. They see no point in getting into debt unless they can pay it off in full every month. Bargains matter, as does finding the best deal.

Self sufficient spender (14 per cent)

Sufficient spenders are confident multitaskers. They are independent and like to make things as easy as possible, so they are keen online shoppers. Investing in quality matters to them. They are in total control when it comes to finances. Saving is important to them and they are cautious when it comes to taking on any financial risk. The personal touch is important to them, so they prefer to conduct their financial affairs face to face.

Skilled saver (10 per cent)

Skilled savers keep a tight rein on their finances and their strict budgeting skills mean they always stay on track. A resourceful nature means that nothing goes to waste when they are around. Careful saving habits make them averse to taking on credit cards or loans so they always live within their means.

Spontaneous spender (9 per cent)

Their friends come to them for wisdom as they are always trying new things and have new ideas. Spontaneity is very important to them. If it is a choice of staying in to save money or going out to the latest restaurant, they will choose the latter.

Budget guru (7 per cent)

Their financial discipline is the envy of their friends as they balance the books to come in on budget. They are not ones to splash out but make careful financial decisions.