In the BBA ‘Future of Saving’ consultation, respondents will be invited to answer five questions:
- Why do British people save less than residents from many other countries?
- What more could banks do to encourage their customers to save?
- Should ministers consider ending taxation on all savings products?
- The BBA has called for the creation of new work-based savings products that workers could transfer to different employers. Would you support this and if so why?
- What other policies by governments and regulators could encourage more people to save?
Around 13 million people do not have enough savings to keep up with essentials for a month if their income dropped by a quarter, according to a recent report by Step Change Debt Charity. The same study also said that 16 million people have no savings of any kind. A separate report by TISA “Our Financial Future” highlights a significant cultural shift in attitudes towards saving and concludes that the UK faces major issues, especially around retirement provision, unless action is taken.
The BBA would like to receive submissions in writing (up to 2,000 words) by Friday August 22nd. The responses will not be made public but authors of the most impressive responses may be invited to discuss their proposals with BBA executives.
Anthony Browne, chief executive of the BBA, commented:
“Many people in this country are simply not saving enough. The rising cost of living and rock bottom base rates haven’t helped that in recent years, but actually the savings culture has been falling since the late 1970s. We have gone from a nation of savers to a nation of debtors – this is bad for individuals and is not in our country’s interests. Without a rainy day fund to tide them over when their car dies or the boiler explodes too many people are driven into the arms of high-interest lenders. Economies with high levels of saving have more money to invest on infrastructure and other important things’’.
Responses can be emailed to the BBA at thefutureofsavings@bba.org.uk or posted to: The Future of Savings, The BBA, Pinners Hall, 105-108 Old Broad Street, London, EC2N 1EX.
Sources: https://www.bba.org.uk/news/press-releases/your-chance-to-help-rebuild-britains-saving-culture-2/
