Generation eXcel

Forget Generation X, Abbey Savings has identified ‘Generation eXcel’ - that is the majority of Britain’s over 55s who feel they’ve improved on their parent’s lot. That’s in stark contrast to subsequent generations, who feel they are living in their parents shadow.

Abbey’s research found that 71 per cent of people aged over 55 say they’re more astute than their parents were at the same age. 63 per cent believe they are fitter and 74 per cent say they have a more comfortable life too.

However, Abbey Savings shows their children feel worse off. The data below shows how each generation feels in comparison to their parents at the same age:

55 per cent of 45-54 year olds feel they are fitter
Only 42 per cent of 35-44 year olds feel they are fitter
Less still, 34 per cent of 25-34 year olds feel they are fitter
58 per cent of 45-54 year olds feel they are more astute
A minority 46 per cent, of 35-44 year olds feel they astute
Less still, 40 per cent of 25-34 year olds more astute
69 per cent of 45-54 year olds feel they’re more comfortable
Less 65 per cent of 35-44 year olds they’re more comfortable
More, 68 per cent of 25-34 year olds they’re more comfortable

To explain this phenomenon Abbey has come up with a number of financial reasons that might help to explain why the over 55s seem to have taken greater strides forward than subsequent generations.

The older generation have more money to achieve what they want to. The 50+ segment of society holds 91 per cent of savings and current account assets, 43 per cent of ISA assets and 33 per cent of shares.

The 50+ generation have benefited from two major housing booms. From 1976 to 1986 house prices rose 218 per cent, and from 1996 to 2006 house prices rose 182 per cent. From 1986 to 1996 house prices rose less, at 75 per cent.

The 50+ generation spend more on leisure and pleasure activities than any other segment of society. They are responsible for 52 per cent of food and drink expenditure and 57 per cent of the expenditure on recreation and culture.

Reza Attar-Zadeh, Head of Savings at Abbey, said: “The over 55s are the golden generation.

“This generation has lived through a massive uplift in quality of living, with house prices rising a large amount. Consequently, their confidence is sky high.

“It is clear that subsequent generations do not share the same confidence. Those under 55 face all sorts of challenges from getting on the housing ladder, through to increasing costs of supporting children, and the prospect of working both longer hours and longer in life. As a consequence they don’t feel quite as fortunate as their parents.”