Emergency fund: What it is and how to build one
This type of savings account can save you from a lot of financial stress and anxiety.
Read more…Savings statistics: Average savings in the UK | 2020
Learn more about the average savings in the UK, broken down by age and account type.
Whether you’d rather hide money under your mattress or more wisely put it into a savings account, savings are key to helping people plan their future, deal with accidents and secure a comfortable retirement. How much does the average person have saved in the UK? And are we getting better or worse?
Key statistics
- 1 in 10 Brits (9%) have no savings at all.
- In 2020, the average person in the United Kingdom (UK) had £6,757 saved.
- A third of Brits have less than £600 in savings.
- 41% of Brits don’t have enough savings to live for a month without income.
- The number of Adult ISAs in the UK is up from 10 million in 2017-2018 to over 11 million in 2018-2019.
- The average amount in Adult ISAs has fallen from £6,466 in 2017-2018 to £6,049 in 2018-2019.
- The number of Junior ISAs in the UK is rising, with just below 50,000 extra accounts opening in 2018-2019.
- The average amount invested is now £1,020, up from £994 last year.
How much does the average British person have in savings?
We carried out some research in 2020 to find out who has savings, how much we have saved and to look into the reasons why many people don’t have savings.
- The average person in the UK has £6,756.81 saved in 2020. However, a lot of people don’t have this much.
- Experts recommend that people should have three months of expenses saved.
- 40.93% of Brits don’t have enough savings to live for a month without income.
Generational differences: Average savings by age in the UK
Out of all the generations, baby boomers (Born 1946-1964) have the most saved, with an average of £9,758.54 per person. The second-highest savings are with the silent generation (Born 1928-1945), who are sitting on an average of £9,497.96 per person.
The youngest generation, gen Z (Born after 1996), who have been working the shortest amount of time, have the smallest savings balance, with just £2,530.71 on average.
Those aged 22-29 are the least likely to save, with 53% of them having no savings at all.
| Generation | Average current savings |
|---|---|
| Generation Z (Born after 1996) | £2,530.71 |
| Millennials (Born 1981-1996) | £4,614.04 |
| Generation X (Born 1965-1980) | £6,160.57 |
| Baby boomers (Born 1946-1964) | £9,758.54 |
| Silent generation (Born 1928-1945) | £9,497.96 |
Adult ISAs
An ISA account is the most popular type of savings account, thanks to its tax-free benefits. But how many Brits are taking advantage of these tax-free savings accounts, whether in the form of a cash individual savings account (ISA) or a stocks and shares ISA?
If you’re not familiar with stocks and shares ISAs, they’re savings accounts that allow you to invest in stocks and shares, usually based on the level of risk that you are comfortable with. If you want to know more, we’ve compiled a list of the best trading apps to help you decide which is best for you.
Cash ISAs have become less popular over the years from 2015 to 2018, while stocks and shares ISAs have become more popular. However, this trend reversed in 2019. Read on to find out more about the changes in Adult ISAs in the UK.
Number of Adult ISA accounts
The total number of ISA accounts has fallen in recent years. However, over 2019, the number of ISAs actually increased by over 1 million accounts to 11.2 million. There has been a resurgence in the number of cash ISA accounts, with 8.5 million accounts open in 2019.
This is almost 1.5 million more than there were in 2018. However, the rise in the number of stocks and shares ISA accounts has halted and declined, with a 16% drop to 2.4 million accounts in 2019. Explore the graph below to see more.
| Year | Cash ISAs | Stocks and shares ISAs | Total |
|---|---|---|---|
| 2015/2016 | 10.12 million | 2.54 million | 12.66 million |
| 2016/2017 | 8.48 million | 2.59 million | 11.07 million |
| 2017/2018 | 7.78 million | 2.84 million | 10.09 million |
| 2018/2019 | 8.48 million | 2.42 million | 11.16 million |
Total amount subscribed to Adult ISA accounts
In 2018/2019 the total amount subscribed in ISA accounts increased by 3.5% to £68 billion. The increase in the total number of cash ISA accounts in 2019 has also increased the total amount invested in cash ISAs in the UK, from £40 billion in 2017/2018 to just under £44 billion in 2018/2019. However, despite this increase, it’s still way down from 2015/2016 when there was nearly £60 billion subscribed to cash ISAs.
In 2019, almost £23 billion was invested in stocks and shares ISAs. This has gone down from 2018, thanks to their drop in popularity. However, the total amount invested in stocks and shares ISA accounts in 2019 is still above what it was in 2015/2016. Check out the graph below to find out more.
| Year | Cash ISAs | Stocks and shares ISAs | Total |
|---|---|---|---|
| 2015/2016 | £58 billion | £21 billion | £80 billion |
| 2016/2017 | £39 billion | £22 billion | £62 billion |
| 2017/2018 | £40 billion | £29 billion | £65 billion |
| 2018/2019 | £44 billion | £23 billion | £68 billion |
Average amount subscribed to Adult ISA accounts
The average amount subscribed into each type of ISA has also fluctuated slightly. The average amount in a cash ISA is slightly above £5,000 while the average amount in a stocks and shares ISA is just under £9,500.
| Year | Cash ISAs | Stocks and shares ISAs |
|---|---|---|
| 2015/2016 | £5,801 | £8,322 |
| 2016/2017 | £4,622 | £8,623 |
| 2017/2018 | £5,228 | £9,685 |
| 2018/2019 | £5,187 | £9,331 |
Junior ISAs
A Junior ISA is a tax-free long-term savings account for under 18s in the UK. The current savings limit for the 2019/2020 year is £4,368.
Number of Junior ISA accounts
Despite a decrease in the number of Adult ISA accounts, the number of Junior ISA accounts is on the rise. Almost 50,000 more Junior accounts opened in 2019.
| Year | Cash ISAs | Stocks and shares ISAs | Total |
|---|---|---|---|
| 2015/2016 | 497,000 | 241,000 | 738,000 |
| 2016/2017 | 569,000 | 225,000 | 794,000 |
| 2017/2018 | 636,000 | 271,000 | 907,000 |
| 2018/2019 | 668,000 | 286,000 | 954,000 |
Total amount subscribed to Junior ISA accounts
The total amount subscribed to Junior ISA accounts was £974 million in 2018/2019, the highest total amount ever. Cash ISAs hold 57% of this total, while stocks and shares ISAs make up the rest.
| Year | Cash ISAs | Stocks and shares ISAs | Total |
|---|---|---|---|
| 2015/2016 | £522 million | £399 million | £921 million |
| 2016/2017 | £525 million | £333 million | £858 million |
| 2017/2018 | £517 milllion | £385 million | £902 million |
| 2018/2019 | £555 million | £419 million | £974 million |
Average amount subscribed to Junior ISA accounts
Interestingly, the average amount invested in stocks and shares ISA accounts is more than cash ISA accounts. Despite the rising number of Junior ISA accounts in the UK, the average amount invested in them is falling. However, 2018/2019 has seen a slight recovery in the average amount invested. Explore the graph below to find out more.
| Year | Cash ISAs | Stocks and shares ISAs |
|---|---|---|
| 2015/2016 | £1,050 | £1,656 |
| 2016/2017 | £923 | £1,480 |
| 2017/2018 | £812 | £1,421 |
| 2018/2019 | £830 | £1,465 |
Sources used
- Finder commissioned Onepoll in May 2020 to carry out a nationally representative survey of adults aged 18+. A total of 2,000 people were questioned throughout Great Britain, with representative quotas for gender, age and region. Some of these figures were then combined with average cost of living data from the ONS
- Global Banking and Finance
- Gov.uk
- Money Advice Service
- ONS
Click here for more research. For all media enquiries, please contact:
Matt Mckenna
UK Communications Manager
T: +44 20 8191 8806
UK Communications Manager
T: +44 20 8191 8806
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