Average saver puts £219 away each month

The average saver is putting away £219 each month, an increase of more than one third (34 per cent) from 12 months ago when it was £163 per month, according to research from Santander Savings.

In addition Santander ‘Snap Shot' analysis found that as a nation we have collectively put away an impressive £59.4 billion over the past twelve months alone.

At present, more than 28 million people in the UK have cash savings with the average amount standing at £39,000. Of the 16.2 million Brits that have money held in investment accounts, the average amount is £54,566.  For those who have both (2.3 million), tend to allocate 71 per cent of their money to savings accounts and 29 per cent to investment accounts.

Reza Attar-Zadeh, Director of Savings & Investments for Santander, commented: "In 2009 our Snap Shot research showed a gradual rise in the amount that people were saving each month with the latest results highlighting that this trend looks to be continuing in 2010.  There's no denying that last year was financially challenging so it's great to see that people are continuing to plan ahead and build up that all important savings pot".

Reza Attar-Zadeh continues "We know saving can sometimes be difficult but it's never too late to start. Setting aside even a small amount each month can make a huge difference in the long term."

The latest research also revealed that, despite these encouraging statistics, 20.1 million Britons (41 per cent) are not currently saving anything and 11.3 million (23 per cent) admit to have no savings at all. However there is cause for hope with almost one quarter (23 per cent) of the population stating that they plan to increase their saving levels within the next six months.

Those with investments are cautious about further exposure to financial markets. Just 3 per cent of those with investments said they planned to increase their investments over cash, while 19 per cent said they planned to increase their cash savings and keep investment exposure constant.

Men appear to be the keenest savers, with an average of £47,000 in the bank, which is 50 percent more than women who have an average of £31,000 saved.

Santander and Alliance & Leicester offer a range of competitive savings accounts to suit every savers needs, including our Fixed Rate Monthly Saver pays a best buy 4 per cent gross/AER fixed for one year, on deposit of between £20 and £250 per month.