BRITS ARE saving a higher proportion of their income due to the current pandemic, a new study finds.
A survey of 2,002 UK adults, conducted by leading personal insolvency practice, Creditfix.co.uk, has revealed that due to the social restrictions that have been in place during lockdown, the average Brit has been able to save £495 per month (an increase of £273 compared to their monthly savings pre-pandemic).
According to the data, during lockdown the average UK adult has saved £178 per month on recreational and cultural activities, such as going to the cinema or going out for drinks with friends.
The data also shows the average adult has saved £142 per month on restaurant meals and £121 per month on hotels or holiday accommodation.
The increased number of people working remotely has also had an impact on savings, as the average adult has managed to save £92 per month on commuting costs.
The research has also revealed that the temporary closure of gyms and sports facilities has helped to reduce spending habits, as the average adult has saved £54 per month on their membership during the pandemic.
More than 1 in 3 respondents (40%) say they are surprised with the amount of money they have saved, with a third saying they will be more conscious of their spending as social restrictions continue to ease.
Taylor Flynn, head of marketing at Creditfix, comments: “It appears that one of the only positive outcomes during this saddening and uncertain time is that some people are managing to top up their savings for future use.
“For many, the emotional effects of not being able to socialise and see loved ones as often as they would like has been tough, but at least now they can begin to relieve some of the financial pressures faced before the pandemic hit.
“As the hospitality industry reopens and restrictions ease further, this is the time for people to rethink their spending strategy and not rush themselves by doing too much too soon. Individuals should start by getting on top of their finances first, paying off any debt and easing the financial strain this brings with it. With better management of their personal finances in addition to being sensible about expenditure, individuals will be able to spend money without the guilt and stress associated with living beyond your means.
“Although this research reflects increased savings levels for those who are fortunate enough to still be in employment, we understand that not everyone has been so lucky in these difficult times. However, for those who need it, there are support resources available that individuals can turn to for help and advice.”
With over 70 years’ experience between their insolvency practitioners in the financial industry, Creditfix has successfully helped over 141,000 people with their debt over the years which has led to them becoming one of the most experienced in the market. Creditfix Limited is one of the largest personal insolvency practices in the UK, servicing Scotland, England, Wales and Northern Ireland.