More people saving higher amounts, survey shows

As the recession bites and more people grow fearful about their future, the number of people putting money aside in dedicated savings accounts is rising, according to a new survey.

The second EBS Consumer Savings Sentiment study shows that people’s attitudes to saving have shifted dramatically over the past six months.

According to the survey, the number of people saving a set amount of money each month in dedicated savings accounts rose by 4 per cent from 36 per cent in August to 40 per cent in January.

During the same period the number of people who claimed they never saved money rose declined from 23 per cent to 17 per cent.

Over 1,000 people were surveyed for the research by Red C between the 26th and 28th January.

Average annual savings by all adults is €3,942, up from €3,543 in August 2008. The number of respondents who said they saved more than €3,000 a year rose by 8 per cent from August to 32 per cent.

Dedicated saving is highest among those aged between 25 and 44 years, those living in the capital and those who are from higher socio-economic backgrounds.

“It is not surprising that we see people’s attitudes to savings shift like this – it is typical in times of recession that consumers become more cautious about their finances and seek to have funds available for any unforeseen events," said Dara Deering, director of Membership Business, EBS.

Two thirds of savers admitted to dipping into their savings at least once a year, down four per cent from the last survey, while just over half of all respondents said they do not spend their savings as quickly as they can accumulate them.