Number of savers 'reaches 16-month peak'

Wednesday, February 10th 2010

The number of people setting aside money in a savings account has increased to its highest level in 16 months, according to Nationwide.

Some 79 per cent of people admitted to being regular or occasional savers last month, figures from the building society show, while the number of people who claim not to save anything at all decreased to 21 per cent compared to 25 per cent in December.

Andy Hutchinson of Nationwide commented that new year's resolutions or the fact that people may be spending less and saving more due to the VAT rise could have contributed to the most recent figures.

"Whatever the reason, it will be interesting to see in the next coming months whether this improvement can be sustained," he said.

Some 52 per cent of the people in their 20s who have opted not to buy a Valentine's Day gift for a loved one this year claim that saving money is their main reason for doing so, according to new figures from Norwich & Peterborough Building Society.