27 million determined to budget this year
Before 2013 even started, millions of people across the UK had resolved to manage their finances more effectively this year. Research from budgeting account provider thinkmoney provides some interesting figures.
It seems the events of recent years have taught us all a thing or two about the importance of money management. Asked about their priorities in the New Year, respondents said they intended to:
Stick to a budget (55% - around 27 million people)
Shop around for cheaper tariffs (utilities, mobile phones, etc.) (41% - 21 million)
Pay off non-mortgage debts (31% - 15 million)
Open / invest more into a savings account or other non-pension investment product (30% - 15 million)
Write my will (24% - 12 million)
Start a pension / invest more in my pension scheme (15% - 8 million)
Take out an insurance product of some kind (15% - 8 million)
Pay off my mortgage (15% - 8 million)
Switch my bank / current account (12% - 6 million)
Switch my credit card provider (10% - 5 million)
Closer examination of the figures revealed that younger respondents were much more likely to make a 'personal finance' resolution of this kind.
For example, fully 64% of 18-34 year-olds said that 'sticking to a budget' was a priority in 2013 - compared with 58% of 35-54 year-olds and just 45% of respondents aged 55 or older.
When it comes to 'paying off non-mortgage debts', there was an even sharper distinction between the youngest and oldest groups. 40% of under-35s saw paying off debts as a priority in 2013, compared with just 17% of the over-55s.
However, that fact can largely be explained by this one: a full 69% of over-55s said that paying off their debts was already done / not relevant. Just 30% of the youngest group were able to say the same.
"2013 is set to be a challenging year," commented Ian Williams of thinkmoney. "Benefits being capped, wages stagnating, the threat of a triple-dip recession - we all have plenty to worry about as the year gets underway.
"So it's encouraging to see households attaching so much importance to their finances. The number of people determined to stick to a budget seriously outweighed the number promising themselves they'd lose weight - even though 29% of our respondents said they'd do that this year!
"It may sound obvious, but a good budget is quite simply the best way to get through difficult times with your finances intact: if there's one thing just about anyone can do to improve their financial security this year, this is it.
"If you're looking for some help managing your money, the thinkmoney Personal Account could be what you're looking for, as it comes with a built-in budgeting service designed to get your essential bills paid on time and make sure you don't accidentally spend more than you can afford."