Fifth of British public are failing to save any money
One in five people have no savings, a report reveals today. It warns that millions are living on a financial precipice, struggling amid government cutbacks and inflationary pressures and at risk of being tipped into debt woes by just a small emergency.
Scottish Widows' annual Savings and Investment Report shows that almost 15 million people in the UK are not making any efforts to save for the future, while eight million have no savings at all. Even among those that do save, a third have less than £1,000, which is smaller than the average monthly cost of meeting mortgage and council tax payments.
And with one in five most worried about job security in the short-term, more jobs lost could leave people with a financial shock from which they are unable to recover.
Iain McGowan, savings expert at Scottish Widows, said: "When people are faced with immediate financial commitments, such as mortgage payments and day-to-day living expenses, they are forced to take a short-term view of their finances. It is absolutely necessary to give those pressing needs priority, but it means millions are unprepared for the financial needs and challenges that lie ahead."
The report suggests that more people than ever are being forced to turn to their families for financial help. A quarter of parents say they have lent a "substantial amount" to children, often simply to help them meet daily living expenses. Average parental loans now stand at £15,000 – an 11 per cent increase over last year's figures.
Meanwhile grandparents have lent £3,665 on average to grandchildren.
Some 6 per cent of people admitted lending cash to parents with an average amount of £4,371 exchanging hands. Also 9 per cent of people have lent an average of £3,485 to a sibling.
- 1 Sofyen Belamouadden murder: The inside story of a crime that horrified Britain
- 3 Company breaks open Apple Watch to discover what it says is 'planned obsolescence'
Top 20 misconceptions people believe are true
Sofyen Belamouadden murder: The inside story of a crime that horrified Britain
'We're not heroes, just tourists': Swedish police officers on holiday stop vicious assault on New York subway
Nepal earthquake: More than 1,100 killed across four countries and in Mount Everest avalanche
Australian student Tommy Connolly, 23, adopts his pregnant, homeless 17-year-old cousin to give her a chance at 'a better life'
The sickening truth about food banks that the Tories don't want you to know
Migrant boat disaster: Ukip candidate mocks victims in sickening Twitter post
Nigel Farage wants the BBC to stop making programmes like Doctor Who, Strictly Come Dancing, and Top Gear
Global warming: Scientists say temperatures could rise by 6C by 2100 and call for action ahead of UN meeting in Paris
General Election 2015: Britain would become a 'communist dictatorship' under Ed Miliband and Nicola Sturgeon, claims wife of Michael Gove
Rupert Murdoch berated Sun journalists for not doing enough to attack Ed Miliband and stop him winning the general election
iJobs Money & Business
£50000 - £55000 per annum: Ashdown Group: Business Analyst - Financial Service...
£18000 - £23000 per annum + OTE £45K: SThree: At SThree, we like to be differe...
£20000 - £25000 per annum + competitive: SThree: Did you know? SThree is the o...
£22000 - £24000 per annum: Recruitment Genius: This is an opportunity to join ...