Savings habits start young and die hard

New research from Nationwide Building Society reveals the impact saving as a child has on adults' saving behaviour. Just over half (56%) of consumers questioned saved as a child and, of those that did, 71% save regularly now. This is over one and a half times the number of consumers who didn't save as a child, saving regularly now (45%). Also, nine out of ten (92%) former child savers think their savings habits helped them to appreciate the value of money whereas seven out of ten (69%) non-child savers admit to not appreciating the value of money now.

Child savers:

Just over half (53%) of consumers who saved as a child did so primarily to afford the things they wanted to buy, with a further 27% citing their parents as the reason why they saved;

92% of former child savers think their savings habits when they were young helps them appreciate the value of money now;

Additionally, nearly eight out of 10 (78%) former child savers think their habits then influence their savings habits now;

84% of former child savers have encouraged, or intend to encourage, their children to save.

Non-child savers:

Over two thirds (69%) of those that didn't save as a child say its primarily because they didn't have enough money to save, with only 9% stating that it was because their parents didn't save;

69% of non-child savers admit to not appreciating money because they did not save as a child;

Additionally, half (52%) of non-child savers think their habits then, influence their savings habits now;

75% of non-child savers have encouraged, or intend to encourage, their children to save even though they didn't save as a child.

Matthew Carter, director for savings at Nationwide, says: "Starting the savings habit young is important and clearly influences consumers' propensity to save in later life. Habits die hard, and this research shows that those who learnt the value of money and how to save effectively at a young age, are more likely to continue to do so in adulthood.

"It's heartening that so many people will encourage their children to save, even if they didn't save as a child because, with the current economic situation getting tougher, it's never been more important to put money aside for that rainy day."