People more cautious in managing their finances
This is according to a YouGov poll carried out for Financial Planning Week (22-28 November).
The poll revealed that women are watching the pennies more than men: 67% of women surveyed reported that that they are “slightly more careful” or “a lot more careful” with their hard earned cash than they were just 12 months ago, compared to just 60% of men.
Commenting, John Prout, sales director of NS&I, said: “The results of this poll will come as little surprise to most. Given the instability of the economy over the last year, we’re all a lot more conscious of the squeeze on our purse strings. It’s therefore important to be fully aware of our financial fitness, and in turn continually take steps to improve on this. We should similarly be encouraging our friends and family to do the same.”
Andy Tully, senior pensions policy manager at Standard Life also has some words of caution. “It’s not surprising to learn that people are being even more careful with their money than last year. When the outlook is uncertain, it’s easy to think about the here and now and not look to the future. In the current environment people will instinctively try to pay off debt and build up an emergency fund. They are perhaps more keen to save than in the past, but our research shows that many are still failing to save for the bigger picture, like their retirement.
“So the starting point is setting a budget, and part of that should be setting priorities and planning their finances for the long term. Life events such as getting married, having a family or retiring can all impact on all our financial needs, so we need to plan ahead and know where to go for support and advice when we’re not sure which way to turn.”