Britons 'not saving enough'

Britons could be facing a savings crisis in future

More than half of Britons are not saving any money at all, storing up financial problems for the future, a report has warned.

Just 45% of the 2,000 people polled by Insight Investment said they saved money in the three months to September.

That compares with 47% who saved in the previous three months, the group said.

Meanwhile, people who are saving are putting less aside than they did in the past.

The amount those who were saving set aside fell to £241, or an average of £80 a month - down from £262 in the previous three months.

David Norman, managing director of business partnerships at Insight Investment, warned: "People are not saving enough for the future and may face difficulties later on as a result.

'Live for today'

The findings appear to back up recent Association of British Insurers estimates that Britons are currently saving £27bn a year less than they need to in order to have a comfortable retirement.

Of people who were saving, the poll carried out by RSGB found that around 12% of people saved less than £100.

Elsewhere 10% saved between £100 and £200, 10% saved between £200 and £500, and 13% put more than £500 aside.

However, around 56% of people said they had not planned to save any money during the quarter, and only 10% of people who had not intended to save actually did.

Mr Norman added: "A live for today mentality has led many people to ignore the need to save altogether. This attitude is leading to an increasing and worrying debt-savings imbalance."

"Saving should not be seen as a pipe dream - it should be seen as a regular habit that can involve small amounts of money."