Saving ‘viewed as more important’

Saving was viewed as being more important by people in May than in April, a new report has suggested.

Nationwide revealed that its Importance of Saving Index rose by 11 points over the course of the month as it moved closer to the 90-point levels observed at the start of the year.

However, while this figure increased for the second month in succession, the Nationwide Savings Index reached record lows with a three-point drop.

Approximately 60 per cent of people admitted to saving less than they need to, with 26 per cent not putting any money aside at all.

But these figures could increase over the course of the year, with 19 per cent of consumers expecting put more cash away in six months time than they do currently.

One reason why people may be struggling to save is debt.

Lincoln Financial Group recently found that 23 per cent cited this as the main reason why they are not contributing to pension schemes.

By Francis Finch