Men more likely to save than women

Men are putting more cash into savings accounts than women, according to new research from Yorkshire Building Society.

The statistics show that 62% of people have at least £1,000 in a savings account and that men were 50% more likely than women to have such an account.

But the Taxman’s getting more than he should!

However, the research also highlighted that over a third of the people, with more than £1,000 in savings, don’t have a tax-free ISA (37%). This means that there could be around 15 million people in the UK paying more money to the taxman than they should.
As the new tax year looms savers need to act quickly to ensure they get the maximum benefit from this tax year’s savings allowance. Each individual can save up to £3,000 in a cash ISA without being taxed on the interest earned. From the next tax year, which begins on 6th April, the tax-free savings limit increases to £3,600.

To help encourage savers to use their ISA allowance, Yorkshire is increasing the rate on its Fixed Rate Anniversary ISA from 6th April. The one-year fixed rate account will pay 6% gross and allows savers to transfer into the account any savings they have built up in other ISAs even if they are with other providers. For those individuals who rely on their savings for income a monthly interest option is also available. This great rate is guaranteed to be available for all accounts opened between 6th and 30th April.

Unlike many other fixed rate ISA accounts available, savers who choose to leave their money in the Yorkshire Fixed Rate Anniversary account at the end of the year, will see their savings automatically ‘Rollover’ into the same competitive one year fixed rate account offered to new customers. Money left languishing in some other ISA provider accounts at the end of the fixed rate period will transfer to lower paying accounts and could cost the saver dearly in reduced interest payments.

Chris Edwards, Yorkshire’s Head of Mortgage & Savings Development said: “We were shocked to see that such a high proportion of savers don’t have an ISA account. Anyone with any amount of savings should grab an ISA as soon as possible to make sure they get the most benefit of the tax free allowance.”

More information on the Society’s tax-free savings accounts is available at ybs.co.uk/savings