Savers are feeling the pinch

Consumers are not saving as much as they want to, according to latest figures from Nationwide Building Society's savings barometer.

Three-quarters (74%) of consumers think saving is important, however, only half (50%) of consumers save regularly;

Despite 83% of people saving regularly or occasionally, nearly three-fifths (57%) of consumers are not saving as much as they think they should;

Even though more than half of consumers do not think they save enough now, just 41% of people are optimistic and think they'll be saving what they should be in six months' time;

Nearly a third (31%) of consumers think they won't be saving enough in six month's time;

Nearly half (49%) of people think it is a bad time to save given the current economic climate - an increase from 40% seen in April's report;

Matthew Carter, Nationwide director for savings, said: "As food and fuel prices continue to rise, and people feel gloomier about the economy, more consumers think it is a bad time to save. This is a shame given many savings providers are offering highly competitive and attractive rates at the moment and illustrates the current squeeze on consumers' ability to save. The products available mean it's a good time for savers so it's incredibly unfortunate that would-be savers haven't the spare money to put aside.

"It is encouraging however, that three-quarters of people think saving is important, although it is disappointing consumers don't feel they can afford to save as much as they need to."