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REPORT HIGHLIGHTS STARK SOCIAL DIVIDE IN SAVINGS SHORTFALL…

          A third of UK adults have no savings; 57% have less than 1,500

          Half the population owns only 6% of its wealth; the top 10% own 54%

          77% on below average wage and 57% above this level need to save more

          Call for IFA Promotion’s free How to Get Saving! factsheet

More than a third of people have no savings, whilst 57% of people have less than 1,500, and less than one in eight (12%) has more than 20,000.  These are further findings of IFA Promotion’s comprehensive report into the state of the nation’s savings. 

The Get Saving! report*, which draws on a wide range of industry and government savings data, alongside a specially-commissioned survey of UK savings behaviour, also serves to highlight a stark divide between socio-economic groups in terms of their provision for the future.  It’s long been known that, despite UK adults possessing around 2.75 trillion in assets, this enormous wealth is skewed severely in fact IFA Promotion’s report reveals that half the population owns only 6% of its wealth, whilst the wealthiest 10% owns over half (54%). 

And in terms of long-term savings shortfall, IFA Promotion calculates that 77% of those earning below the national average wage need to save more, whilst 57% of those earning more than this level are should be making further financial provision for their futures.

David Elms, Chief Executive of IFA Promotion commented “Fallen stockmarkets and low savings rates on offer from banks and building societies may well be putting many people off making greater provision for their futures.  However our report makes clear just how few people currently have what financial experts consider an adequate savings safety net.  We’re urging people who don’t have enough set aside, or aren’t sure if they have, to speak to an IFA and take advice on their long-term savings options.” 

Call 0800 085 3250 in confidence or visit www.unbiased.co.uk for IFA Promotion’s How to Get Saving! factsheet, looking at why we need to save, how much we should be putting away, and the range of ways to do so.

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For further information, please contact:

David Elms, CEO                                  or                     Richard Winder/ Liz Willder

IFA Promotion                                                                Lansons Communications

Tel: 020 7833 3131                                                       020 7490 8828 lizw@lansons.com            

1.  Independent Financial Adviser Promotion

IFA Promotion was established in 1989 to promote the value and accessibility of independent financial advice to the public.  It represents over 10,000 firms of independent financial advisers across the UK and is sponsored by 28 leading financial institutions. In 2002, over 300,000 consumers and businesses used IFA Promotion to find local independent financial advice.

IFA Promotion’s believes Independent financial advice should be:

        Affordable.  The option to take independent financial advice should be available, by right, to all - not just the wealthiest in society.

        Convenient.  IFAs should be available in the location of the consumer’s choice, wherever they live in the UK.

        Transparent.  It must be clearly transparent to consumers who is able to offer independent financial advice and who is not.

2.      Independent Financial Adviser Promotion’s sponsors

AMP NPI	Old Mutual Asset Managers
AXA	Prudential
Barclays Global Investors Funds	Scottish Equitable Plc
Bright Grey	Scottish Life
BUPA	Scottish Mutual Assurance Plc
Canada Life	Scottish Provident
Clerical Medical Investment Group	Scottish Widows Plc
Eagle Star	Selestia
Friends Provident	Standard Life Assurance Company
GE Life	Swiss Life (UK) Plc
INVESCO Fund Managers Ltd	Skandia UK Group
Legal & General	The Children’s Mutual
National Savings & Investments	Winterthur Life UK Ltd
Norwich Union Life	Zurich Life Assurance Company