Britons save at record levels

Record low interest rates are not deterring Britons spooked by the recession from saving at record levels.
According to National Savings & Investments’ (NS&I) quarterly savings report, the amount set aside by the average person rose to £92.41 per month during the first quarter of 2009, up from £90.12 in the final three months of 2008.
Furthermore, the average regularly saver put away the largest monthly amount since the survey began four-and-a-half years ago, at £209.23.
With average income falling slightly across the population, the amount saved as a percentage of income rose to 6.83%, up from 6.48% in the winter of 2008/09.
The number of people saving regularly remained constant for the fifth successive quarter with 47% of the population setting some money aside.
In an ideal world, savers questioned said they wanted to add to their deposits by an average £219.11 per month, up from £210.26 in the final quarter of 2008 and £195.67 a year earlier.
Meanwhile, over-spending was reigned in slightly, with 28% of respondents blowing their budgets during the first three months of 2009, compared with 30% in the previous three months.
NS&I’s senior savings strategist, Dax Harkins, comments: “The results show some very positive savings behaviour this spring, with the average amount held in savings up from £17,372 in winter 2008/09 to £18,443.”